Debt Princess Begs Daddy To Save Her | Financial Audit

Summary

Financial Audit Podcast Summary

Episode: Debt Princess Begs Daddy To Save Her
Host: Caleb Hammer
Guest: Nina (28, Austin-based online health and fitness coach)
Date: October 21, 2024

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Overview

This episode delves into the personal finances of Nina, who recently left her corporate job to become an online health and fitness coach. Despite her entrepreneurship, Nina is struggling to manage her income, spending habits, debt, and savings. The conversation exposes Nina's justifications for her financial choices, her reliance on support from her father, and her ongoing challenges with budgeting and delayed gratification. Caleb Hammer confronts Nina's financial rationalizations with blunt skepticism and attempts to steer her toward a healthier money mindset.

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Key Discussion Points & Insights

1. Transition to Entrepreneurship and Early Money Mistakes

• Nina’s Background: Left corporate job to pursue full-time coaching (00:24–01:00).

• 401(k) Withdrawal: Nina withdrew ~$10,000 from her retirement account to pay rent and credit card debt (00:43–01:25).

• Caleb’s Reaction: Emphasizes the risk and penalty of early 401(k) withdrawals.

  • “Because you’re pulling money from your retirement... there’s a 10% penalty...” — Caleb (01:00)

• Lack of Financial Planning: Nina admits to not setting aside taxes regularly (03:13–03:23).

• Write-Off Confusion: She overestimates potential deductions (“I ballpark 70%”—03:29) and fails to grasp the impact on qualifying for rent or mortgages.

2. Income and Expense Discrepancies

• Inconsistent Income: Averages $4,000–$5,000/month, with seasonal fluctuation (03:04–03:12).
• Spending Far Exceeds Earnings: Nina spent over $17,000 in one month despite only bringing in ~$6,500 (08:53–09:35).
  • “You spent $17,244... I don’t know what you mean. I’m just gonna go get more clients...” — Caleb (09:35)
• Exorbitant Miscellaneous & Lifestyle Spending: Includes business expenses, dining out (~$674/month), podcasts, coffee shops, beauty treatments, travel, and gifts.

3. Blurred Lines Between Business and Personal Finances

• Lack of Separation: No distinction between business and personal accounts/expenses (11:43–11:56).
• Podcast as Business Expense: High overhead from recording in a studio ($800/month), justified as “bring[ing] athletes in” but outpaces actual returns (17:47–19:02).
• Business Ownership Confusion: Nina thought she had her own business but is technically a contractor/head coach for a friend’s LLC (12:13–13:29).

4. Rationalizations for Overspending

• Emotional Justifications: Breakups, friendships, self-care, and maintaining appearances are used to rationalize expensive decisions (01:46–02:48, 40:10–43:10).
• Event & Travel Spending: $3,000+ trips for friends’ birthdays, music festivals, and regular expensive outings, regardless of financial status (46:05–52:22).
• Assumption of Future Income: Consistently spends based on an optimistic, hypothetical increase in future earnings (29:05–29:42).
  • "Because at some point in my life I might make a billion dollars. I may as well go get a yacht, right?" — Caleb (29:42)

5. Enabling and Borrowing

• Support From Family: Father lent her $4,000 to transition between apartments post-breakup (55:10–57:14).

• No Repayment Plan: Waiting for her dad to bring it up; plans unspecific.

  • “I’ve been waiting for him to bring it up and he hasn’t. So what?” — Nina (56:29)

• Lending to Friends: Sent $1,000 to a friend in need while personally in debt (64:47–65:54).

6. Misguided Use of Credit and Debt

• Credit Card Struggles: Frequently carrying balances, incurring interest and fees (24:18–36:41).
  • “You’re not a credit card person. You can’t...you do not know how to manage other people’s money.” — Caleb (36:04)
• High-Interest Auto Loan: Owes ~$14,000 on a car now worth $11,000, interest rate 10.95% (30:27–35:06).
• Recommendation to Sell Car: Host suggests selling car to reduce debt and use public transit; Nina is hesitant due to perceived loss of independence (69:44–71:36).

7. Neglecting Basic Financial Principles

• No Emergency Fund: Claims checking account as emergency fund, but it's actively used for spending (59:02–59:33).
• Insufficient Understanding of Budgeting & Tax Planning: Completely reactive approach to money flow and taxes.
• Continued Self-Care Splurges: Spends hundreds on med spa, Botox, waxing, nails—even when unable to pay for essentials (38:16–68:14).
  • “$600. You can’t afford to survive. Who the [expletive] are you going to Med Spa? $600.” — Caleb (38:16)
  • Nina: "It’s part of my business...appearance is important." (38:16–38:29)

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Memorable Quotes

• On Retirement Theft:

  • “I understand those hair is going to turn real gray when you’re trying to retire and they’re $0.” — Caleb (06:16)

• On Justifying Overspending:

  • “Your life is wants. I would prefer that you want to live a halfway decent, successful, safe secure life.” — Caleb (33:05)
  • "See, I disagree. I think...there's so much time there." — Nina (43:00)
  • "No, that's the dumbest thing again." — Caleb (44:08)

• On Friendships and Experiences:

  • “The experiences that you have in life are more important than worrying about like the day to day minutiae.” — Nina (49:17)
  • “Then this is done. You’re not ready for this. That means you don’t care about this enough.” — Caleb (50:13)

• On Giving Money Away in Crisis:

  • “You’re not in the position to loan. You’re taking out loans. I’m sorry. Again, the heart. I’m not against it. 1. Do you even know their financial situation? Are they spending money on fun?” — Caleb (65:04)

• On Self-Care and Botox:

  • “How about your self care literally being able to have a healthy retirement again? I don’t think people like you understand this.” — Caleb (42:09)

• On Ignorance of Financial Reality:

  • “You don’t know one thing. You do not know one single thing about your own purchases.” — Caleb (67:04)

• On Future Budgeting:

  • “You need to spend a thousand dollars on rent, Max. Getting yourself a studio...you could be totally debt free except for dad, and have a fully-funded emergency fund in right around three years.” — Caleb (75:31–76:20)

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Key Timestamps

• 401(k) Withdrawal Justification & Penalties: 00:43–01:25
• Income Averaging & Tax Deductions Fantasy: 03:04–04:33
• Exploring Spending Habits (Rent, Eating Out, Miscellaneous): 08:14–10:59
• Mixing Business and Personal Finances: 11:43–13:29
• Podcast Expenses Debate: 17:43–19:39
• Rationale Behind Splurges (Self-Care, Travel, Friends): 36:04–43:00
• Lending to Friends While in Debt: 64:47–65:54
• Car Debt, Selling Discussion: 69:44–71:36
• Debt Payoff and Emergency Fund Plan: 74:56–80:40
• Final Budget Fixes & Next Steps: 75:26–80:55
• Caleb’s Hammer Financial Score: 80:56–82:08

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Suggested Action Plan

Caleb provides a tough-love roadmap:

• Drastically Cut Expenses: Eliminate luxuries, switch to cheaper rent ASAP, dramatically reduce self-care and lifestyle costs.
• Sell Non-Essential Assets: Sell car, use public transport, get a bike to eliminate loan and insurance.
• Separate Business and Personal Finances: Open dedicated business accounts.
• Emergency Fund: Build to six months living expenses (at least $17,340).
• Increase Income or Get Second Job: Bring in at least $500/month more to expedite goals.
• Pay Off All Debt, Start With Dad: Pay family first, then focus on consumer debt.
• Stop Lending Money & Support to Others: Focus on personal financial security before helping others.

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Final Notes

This episode is both a case study in the dangers of “aspirational” spending and a caution against using emotional reasoning to justify destructive financial behaviors. Nina’s journey is a relatable reminder of the challenges of transitioning to entrepreneurship without a financial safety net or realistic budget. Caleb’s direct approach pushes for immediate, sometimes drastic, changes—emphasizing the non-negotiable need for discipline and sacrifice before financial freedom.

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Hammer Financial Score: 1.5/10
Notable Final Moment:
Caleb forbids Nina from attending another music festival until she gets her finances in order (82:08–82:36).

Transcript

[A]

To watch episodes of Financial Audit a week earlier. Check us out on YouTube.

[B]

He was helping me financially as well.

[A]

Listen, if we owe a family member money, we're really not doing it. That's when we do not get to have any paid for fun. You are grinding to pay off a family member.

[B]

He gave me a lot more than I asked.

[A]

But you owe it.

[B]

I've been waiting for him to bring it up and he hasn't.

[A]

What is that? What a loving daughter would do.

[B]

Hi, my name is Nina. I am 28, I'm based here in Austin, and I'm. And this is Financial Audit.

[A]

Thanks for coming on. What do you do here in Austin for a living right now?

[B]

Thank you for having me. I am an online health and fitness coach.

[A]

Oh, okay. Yeah, I actually could use your help a little.

[B]

I got you. I actually just recently this year quit my corporate job and went all in on coaching. And I found myself drawing money from my 401k, which everybody tells me not to do, but.

[A]

Well, yeah, no, everyone tells you not.

[B]

To do that, but they don't say, why.

[A]

Because you're pulling money from your retirement. Because there's a 10 penalty on the money you're pulling from retirement. And if your money has gained any value, which it likely has over these past couple years, you're also paying capital gains tax on that money.

[B]

See?

[A]

Is that a good reason? Have we found a reason? I just gave you a reason why.

[B]

In my mind, the math made sense if I needed 10k to get rent and groceries and all that.

[A]

Renting groceries. Wait, was this business not ready to go?

[B]

It's com.

[A]

Hold on. What are you making? Online coaching. I was with you. Online coaching. I was going to ask how much you make. Let's go get into the conversation. How much do you make with it?

[B]

So that's why. Oh, good.

[A]

Sake. Not an answer.

[B]

Okay, a non answer. An answer is coming. So it. It's seasonal. My work a little bit because it's.

[A]

Fat in the winter, active in the.

[B]

Summer is what people tend to fall into. Yes. They won't hire an online coach if they're just going to bundle up for the winter. However, when I left my corporate job, the season that I was in, I also left a different coaching company. So I was an assistant coach for somebody else. And then I. Okay, I. I left those things, decided to be an online coach by myself, like, have my own.

[A]

Why didn't you wait for the better season?

[B]

Because there were also, like, personal things happening and I really wanted to get out of that situation. I went through a breakup. And then my boss at the time.

[A]

My life is a permanent breakup. We all deal with it.

[B]

Not at the corporate job, but the other coaching job that I had had. That guy turned out to be terrible. Like a terrible human being. No integrity. Like, I think that his business is operating. Terrible person towards you, me and the other assistant coaches. Okay, so there was a big exodus. Like, there's a bunch of us that left that team.

[A]

So it was hard to be in that position.

[B]

Yes.

[A]

Okay, well, how close were you to the good season?

[B]

It was February, so I knew that we were. We were going to come into the summer months.

[A]

So let's do a little rewind to about two minutes ago when you didn't answer my question.

[B]

How much do you make on average? 4 to 5,000amonth.

[A]

Okay.

[B]

If I had to like summarize and average all of it.

[A]

Sure.

[B]

Lower monsters.

[A]

And of course, you're a business owner, so you're setting 30 aside for taxes, huh? Right? Yep. And how long have you been doing this? Well, the IRS loves this show.

[B]

Not setting aside money for taxes. Like how long have I been doing that?

[A]

How long have you been doing this job? You're self employed. Your business.

[B]

February.

[A]

Okay, so what do we do when it comes tax season or just a few months? Honestly? It's coming. Sure. File an extension. Sure. But what are we doing?

[B]

Well, I used to use H and R block, so I would just go through step by step.

[A]

Yeah, but you're gonna owe money. You're literally withdrawing, according to you, from your own savings to survive. So there's gonna be no savings to pay the thousands that will be owed?

[B]

No, there will be. And I also have.

[A]

It doesn't exist.

[B]

Now, I have a lot of things I can claim as well, like as.

[A]

An online health and fitness, 100% of your income.

[B]

A lot of it.

[A]

What's a lot of it?

[B]

I can claim a lot of my.

[A]

What number is a lot of it?

[B]

Wait, can you ask the question again? A lot of.

[A]

Yeah, the claims that you're going to be against your taxes. Write offs. Deductions.

[B]

Yeah, the write offs. I have travel. Like airfare? Airbnb.

[A]

Yeah, about percentage. Like how much of your income?

[B]

It's a great question. I ballpark. 70.

[A]

70. So you're never going to qualify for a mortgage or rent ever again.

[B]

Why?

[A]

Because you're basically saying your income's a thousand five hundred a month. If you do that, that's what they'll see when they look at your taxes.

[B]

Well, that's a bridge I'll cross when I get there. I'm not looking to own a home anytime.

[A]

But you'll be living under that bridge because you won't qualify for rent.

[B]

Okay, noted.

[A]

Okay. Literally, what would be so difficult about. Well, okay. I mean, I'm gonna answer my own question.

[B]

That is difficult. I am setting money aside in a savings. I just, like, I.

[A]

You're withdrawing from your retirement funds to.

[B]

Pay off credit cards and, like, kind of get ahead to feel like I'm ahead.

[A]

The first statement is the opposite of a head. It's adding a substantial balance to a debt.

[B]

So in my mind, I was like, okay, if I can take this 10k out of my 401 and pay off my credit cards and put some of that into my savings, then I at least have, like, cat, like, dispensable cash flow. So. Because I.

[A]

So everyone recommended against you doing this.

[B]

I didn't tell anybody. I know that people say. I know it's a thing that people say.

[A]

Why would it be a thing that people say without there being any reason?

[B]

People say silly things. You people say silly things all the time.

[A]

Sure. Everyone. I'm a case agreeing on the same thing.

[B]

But I'm sure that there's. It's not black and white. I'm sure there's parameters. Like, there's gray area.

[A]

What would the gray area be in this context?

[B]

Helping my stress. Helping me get out of, like, an immediate situation.

[A]

I understand those hair is going to turn real gray when you're trying to retire and they're $0. And who knows what the Social Security is going to look like by the time we retire. We're basically the same age. I don't know, man.

[B]

I'm optimistic.

[A]

Okay. Yeah. I don't think that pays for retirement. Optimism. It's not an exchangeable resource.

[B]

Right. Optimism.

[A]

Figure it out. No, no. The people who say we'll figure it out always end up everywhere they go because they're always. I'll figure it out. Instead of having an actual plan and actual steps along the way to get to their ultimate goal.

[B]

Hopefully, that's why I'm here. I would like.

[A]

No, no. Canceled. Nope. And I announced this in the episode that we recorded yesterday. So I know it's not out for you. Stop. You can go to Caleb Hammer dot com. Apply Come on the show. Absolutely. Stop with the. That's why I'm here. That's why everyone's here. That is not an excuse to get out of a little bit of pushback and trying to explain your situation. That's why everyone is okay. So no, that is not going to be a get out of jail free card.

[B]

All right? I'm trying to get out of jail, but I understand it's not free.

[A]

Huh, huh. Okay. I'd love self assessed. Where do you think you are in your finances today? 0 being the absolute worst that you can possibly think of. 10 being the absolute best you can possibly think of. Where do you think you are?

[B]

I'd say six pulling from retirement.

[A]

You think you're above average? I don't know what the is going on. If you want your hammer financial score, it's free link in the description below. You won't be led to an idiotic answer like that. Okay. Would you like to explain?

[B]

I think my finances are.

[A]

You're pulling from retirement to live. That you're pulling from retirement to live. Just, just. That's it. That's it. And you think you're above a solid five?

[B]

Yes, I do. At least I have a retirement and I didn't pull the whole thing.

[A]

Yeah, you'll be on that way. Continuing. What's your rent.

[B]

Base? Rent? 1771.

[A]

Okay. 3000, 3150 is what you'll probably have left on average after you set aside money for taxes. So 1700.

[B]

Yes.

[A]

Okay. Yeah. 54% of your net. So you're going to be pulling from retirement soon.

[B]

Well, so my job as an online health and fitness coach, as I grow my roster, as I get more clients, my income does like, increase. So the, the amount of work.

[A]

When you get more clients in a business, you might make more money. Yes, yes. That is the hope. And I root for that. I hope so. I don't want you to have a failing business.

[B]

I don't want that.

[A]

But that's different. That, that's not the. That's not the answer necessarily. One, lots of behavior. You withdrew $3,800 this month from retirement. This most recent month, the month of the statements that we have. And your spending is absolutely ridiculous. You're not gonna go get more clients your way out of this thing. That's not how this is gonna work. So total income that came in from business was 6,586. So it was a good month. On your average scale, how much money do you think was spent total across all the board? This includes debt going up as well. But how much was spent this month? Sorry, 9,000 from retirement.

[B]

I probably broke even. Probably. 6,000.

[A]

Yeah. You spent 17, 244. So I don't know what the you're talking about. I don't know what you mean. I'm just gonna go get more clients. You're. You're going and getting more clients on what is considered a good month. There needs to triple. You haven't even had enough possible, huh?

[B]

I just don't see how that's possible. How did I spend that much?

[A]

Well, it's an interesting little.

[B]

Are you sure it was 17,000? It wasn't 7,000. That's just.

[A]

Yep. I do notoriously can read. I mean $3,000 alone. $3,000 alone or half of what you brought in for setting inside money for taxes was all spent on miscellaneous. It's like it could be a video game. It could be fine gems. You know it could be just a random. Random anythings just miscellaneous bs.

[B]

It depends what that is because.

[A]

Well no and we'll go through it but it's miscellaneous either way it that stuff like we've put things that were needs in variety purchases. Especially in your large things like that might be more business and there's $6,000 there. But the miscellaneous bull that is not needed for your business. That's not needed for your life. It is those extra little pleasures. It's not even going out to eat. Going out to eat. You spent $674 10% if you're pre tax.

[B]

Yeah.

[A]

Just going out to eat.

[B]

I generally go out to eat. So.

[A]

What are you talking about? The number is here. The number is literally here. It was literally right in front of me.

[B]

I see that. I see that. I guess it's just really surprising to me because I. I would what you bougie with your meals as like I don't got to eat that often I guess.

[A]

Well do you. Is it more expensive meals? Less frequently? Maybe.

[B]

Yeah. Yeah.

[A]

Okay. Do you have at least you've been doing this for quite a few months now what nine? So we'd be in our ninth month for you. Do you have your business and personal separated?

[B]

No.

[A]

Okay then what are we doing? It's going to be. Taxes are going to come soon. But not only that. In order to calculate them going through this is going to be an absolute mess. Do you have an LLC formed for a pass through?

[B]

Yes.

[A]

Okay then just open a business checking account. It takes about two seconds.

[B]

Okay.

[A]

Just have all your expenses go through there. Have your distributions to yourself go through there.

[B]

So. Well, I coach like I'm a head coach for a formed team.

[A]

Hold on. Is this an independent business or are you employed? Are you a contractor?

[B]

I think you would. Yeah. I think you would. I think you would Construe me as a contractor.

[A]

Okay, so you're being contracted out for this. It's not saying you're not a business, but it's not you personally at the top of the thing.

[B]

I have an llc, but I, I do not run my business through that. I run it with my friend. She has the established LLC either.

[A]

Why would it be with your friend?

[B]

Well, does she pay you? Yes.

[A]

So you're not even the boss, you're employed by her?

[B]

Yeah.

[A]

Okay, so you're just employed by someone else. What are you talking about? You said you left to start your own little thing. What?

[B]

Well, I, this is a.

[A]

This makes no sense so far.

[B]

So I left like a coaching team that has like 12 coaches on staff. And so now it's like my friend has her coaching team and I coach with her, but I'm like her head coach.

[A]

Okay. And you think you bring in four to $5,000 a month?

[B]

Yeah.

[A]

And I assume if you are being paid, you don't know if. Are you being contracted by her? Are you being paid like an employee?

[B]

I don't know what the tax form, is it like a 1099?

[A]

Is that what you are?

[B]

I think so.

[A]

Okay, cool. Well, there you go. So you need to be setting money aside for taxes because she ain't doing it for you.

[B]

Which I guess in my mind is why I wanted to like withdraw that amount from my 401 so that I could have what?

[A]

That's going to be an extra massive tax hit if it wasn't done preemptively.

[B]

Well, it was done preemptively, so that's, that's why it was. It's 9,000 that was deposited in my account because the government took a thousand, because I actually took out 10. Okay, but.

[A]

But you probably have there probably be taxes on any capital gains in there. You got your penalty hit.

[B]

Yeah. So I took that also.

[A]

You can even usually most people, what they do, if they really need to take money from retirement, they borrow against their portfolio. Not saying I want you to do that, but you can take like a 401k loan. So at least it's growing while it's still in there. And hopefully you're at a low interest thing. I'm not saying do this, by the way, but it's usually much better than getting a 10 penalty plus capital gains. Maybe you're getting like a full 25 tax in the end across everything. Potentially 20. Who knows? But where maybe the 401k loan could be like 5%. What's a bigger number give you a hint. 20.

[B]

Yeah, I guess I just. I didn't fully understand, like.

[A]

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[B]

I was. I guess I panicked. I was scared. I didn't know what to do.

[A]

It's a whole process. You just instantly do it.

[B]

No, I thought about it, but I.

[A]

Okay, right. Well, Southwest Rapid Rewards here. Here alone, you spent more than you brought in. Here alone, $7112.

[B]

I use that card as like my quote unquote business card.

[A]

Congratulations, then your business is spending more than you bring in. What are you, Amazon? You're getting seed funding. You don't need to run a profit for decades.

[B]

I don't know what that means. No, I use it for like, flights and all the stuff that I do.

[A]

So, like, wonderful. Yeah. How about making money?

[B]

Not this. That's what I'm trying to do with it. Like, I travel to bodybuilding shows for my athletes.

[A]

And like, how do we pay for $1,700 rent. Then if our expenses to run the business are thousand five hundred dollars on average, more. Oh, by the way, and just one card again because we have many more to go through.

[B]

I do have another card.

[A]

There's a lot of accounts to go through here. Okay. It's going to be more than that. Spending across the board.

[B]

I figured I could write it off.

[A]

It's more than you even make. And again, are you classifying everything properly? Isn't it like you're going to have to pay an accountant to go through everything or you're just going to put yourself at risk of being audited? Very low chance. Very low chance, but at risk. Amazon. I'd like to see your Amazon Starbucks record. Atx.

[B]

That's for my podcast.

[A]

You have a podcast?

[B]

I do.

[A]

Okay. For someone that's on a podcast, they're not very talkative.

[B]

Well, you're not giving me a lot of room here.

[A]

Okay, so the podcast, podcast about.

[B]

It's a fitness based podcast and it's a way that I bring athletes in. So that's I put on my business.

[A]

What's your listenership like?

[B]

My audience or the numbers per episode average? YouTube 800.

[A]

Okay.

[B]

And Spotify and Apple Pod. I get a lot more streams on there, but like total listens, I hit over a hundred thousand streams.

[A]

Congratulations. That's sick. So that actually could be a potential way to bring in some clients. Good. I was gonna say if we were hitting like 20, I'm like, you know, is that like the money we're putting in also? Wait, wait, why is the podcast, what is the record? ATX 260 84. That's not paying for it by, you know, it's not paying for itself.

[B]

No.

[A]

So what are you, are you using someone else's studio?

[B]

Yeah.

[A]

Film out of your house. Dude, who cares? It's a starting little podcast. Get a couple mics, hold it up to your face.

[B]

So I, I do it out of studio so I can clip it for social media.

[A]

Oh, I'm sure you spend 1500 more than you make.

[B]

Yes. It's all gonna pay off in the.

[A]

End though with the clips.

[B]

Guys gotta get the clips.

[A]

Look at the clips.

[B]

The high quality stuff, it brings people in.

[A]

Sure it does. But you can make a cute little corner in your apartment. It's not a apartment, it's seventeen hundred dollars a month. Give some plants have the light on them, make a little corner, get a couple hundred dollar microphones and just record from home. Yeah, won't the like how this started, how most everyone's podcast started because I.

[B]

Already started in a studio. Like, it feels like a step back.

[A]

Depends. Show me a picture. Show me a picture. Go ahead, show me a clip. Let me see a clip. I want to see a clip. Let's have a little clip. We don't let people plug, so no one will be able to see it.

[B]

But I just want to turn my phone off.

[A]

Turn on. Okay, one button maneuver. This is not paying for itself. That's the issue. Also, why did we have rent withdrawal? 3,800. Are you paying the full and someone pays you half? How does it work?

[B]

Oh, I double paid on accident. I know. I don't know how I did that. I think I. I submitted. I think the website like glitched out when I was paying my rent because I accidentally support for this podcast.

[A]

And the following message comes from America's Navy.

[B]

The Navy offers new graduates, hands on.

[A]

Training and experience in careers like computer.

[B]

Science, aviation and medicine, plus education.

[A]

And sign on bonuses. Parents help your grads start their career.

[B]

[e-mail] overpaid my rent so I didn't.

[A]

Have to pay the gram. The gram's being pulled up. Let's see. All right, let me see the studio space. $4,500. Okay, so those little wooden planks here, I'm going to take a screenshot and we're going to. You can send that to us and we're going to just black out your name for the background. Those wooden planks, so easy to just set up at your little. At your place in the background. Now there are a bit more texture. Is that your logo?

[B]

Yes.

[A]

Okay, so maybe you could get a TV above it. This isn't incredibly hard. I do see what you're saying. It is nice. It does look nice. These are a couple hundred bucks. But again, you know, these, you know, this is one of your rents and you're investing it for you to own. But really the rest of this is just some LED lighting, dude. And that is not that hard. That is not that hard. Look, look at that light right there. You see that by you. I could turn that purple right now and it would be. It'd be fine. And also the texture changed in the next one anyway. You got a little Target lamp there in this one.

[B]

So they have rooms that they will like, assign based on what's available.

[A]

You could totally get it. You could do this yourself. I'm sorry. You could do this yourself. It would be a little investment. It would, but you'd own it and you would never have to pay ongoing.

[B]

Rent for It I do like.

[A]

And also, no offense, I mean, so sometimes it's hard for us to know this for a fact in the world of creative, but there is kind of the idea that it looking nice helps people stick around for like the first couple seconds. But after that it's not about that. It's whether or not the content is good. So people are more instinctively click off if it's, you know, if it looks like in the beginning. But as long as they stay for a few seconds, as long as it's entertaining and educational, really doesn't matter.

[B]

I mean, I'm willing to give it a try. I'll do it. Yeah, I like the convenience of the studio.

[A]

Well, you love the convenience of Starbucks because you go there every second of your life and apparently that's a business expense for health and fitness.

[B]

So I do a giveaway with my athletes every month, like a monthly giveaway. So I'll give away Starbucks gift cards.

[A]

What just why though? Why do you need to that people want to get healthy and fit. Do you need to be doing this?

[B]

Well, I want to cultivate community and a good way to do that is gift cards. Yeah. With my, with my athletes, they appreciate it how I'm growing the team, it's how I'm creating community. So. Yeah, but think of something like, hold.

[A]

On, hold on, hold on, hold on, hold on. You know, we, I don't want to keep, just keep comparing things but since we're talking about that, I know the world of community and a lot of things, like we're working on more of the membership things here because it just helps us in stable up and downs and what we're going to be doing is people that were members for over a year, I'm like getting a handwritten letter and sending to them something much more personal. We can build community with things that you can do that are more affordable and in your, in your budget. That's the thing. In your budget I see you wanting to say something, but in your budget you can do things that cultivate community without spending money you literally do not have.

[B]

I talk to them every week. So that's what I was going to say is like I, these are my athletes, I have check ins with them. Like I have touch points with them. I, I'm literally more talking to them personal. I understand that. I think it's nice to have like the monthly challenges to give them something to strive for.

[A]

So there's a challenge they have to win through a challenge.

[B]

Yeah, like it'll be a gift card. They'll win the challenge.

[A]

Well, it's not my biggest gripe here, but Starbucks continues. Is every single one of these gift card. Because it's Starbucks. Amazon, Starbucks, Starbucks Record atx or Record atx, that's another expensive thing. Starbucks, Starbucks Kettle fire Beacons.

[B]

AI My monthly newsletter that I send out and it's like the link in.

[A]

Bio, Amazon Recording etx. This isn't a monthly fee. You go in there and pay that every time. Yeah, buddy. You could build your own set for the price that you spent it once in one month because you spend so much there.

[B]

It's 200 for an hour.

[A]

Kidding me. How many, how many do you film a month?

[B]

4.

[A]

Take that. Build your own little set. You already have a TV. Move it over. You'll be fine.

[B]

Have a TV actually.

[A]

Okay. Join us in the 21st century and get a 300 TV. Amazon, Starbucks, Amazon. Interest charges here so far, 489. 149 of fees. Fees. You're having missed payments. Fees. What are there? Fees? You have fees up the butt. This is just fee central. 149 fees this year.

[B]

I didn't realize that. I'm not gonna.

[A]

I don't know. My producers are saying you go to coffee shops to work and buy coffee every day. Doesn't sound like only gift cards. Sounds like you're trying to me.

[B]

No, this. The Starbucks is. Is.

[A]

So what are the other ones then? So you still go to coffee shops and buy coffee every single day?

[B]

I do.

[A]

Because you can't work without that. Definitely can't work in our 1700 hour a month place.

[B]

I have. I guess there's no TV time focusing at home.

[A]

Why you have no TV to distract you.

[B]

I'm on a. I'm a bodybuilder. I'm on a diet. And if I'm at home for too long, I just like go check the cupboard in the fridge over and over. I like to get out of the house.

[A]

And you know what they tell fat like me? Make sure there's not things in the cupboard and fridge.

[B]

Well, there. I mean, there's. There's no snacks in there.

[A]

Okay. But getting coffee like you cannot afford it though, is the thing. That's all I'm trying to say. There's alternatives than going and spending money we literally do not have every day. I'm not against it. Dude. Budget. Have a good retirement. Have a fully funded emergency fund. Go get your coffee, get your sweat. Sweet treat. Absolutely. You know, 50, 30, 20, 50% of these. 30% at once. I want you to spend that money you're pulling out of retirement. Your coffee. How about let's have a chance to survive in the end? Sorry for interrupting you. I keep wanting to say something the moment you start.

[B]

No, I, I think that, I just think it's to like, go to a coffee shop and use their free WI fi and work.

[A]

Go to a park.

[B]

A park doesn't have WI fi. I need Internet.

[A]

Use your phone. What are you talking about? You have service.

[B]

It drains my battery. The hot spot only lasts for like an hour.

[A]

Work from home. Work from the Austin Public Library. It's very nice.

[B]

I have to speak out loud. I've, I've worked, I've been at the. Awesome that.

[A]

I will bring us back to solution number one. Work from home.

[B]

I get distracted. I have to like, I can work from home until a certain point, but I really like my routine. And like also.

[A]

Yes, that's what it is. You like it. Let's be honest about it. You like it. You like the routine. I like it too. But again, it is literal math. You can't afford it. Like, it is really as simple as that. One card, one single account here, you spend fifteen hundred dollars more than you brought in on in your normal month. Sorry, that's not true. 2,500, right? Yeah, $2,500 more than you bring in in a normal month.

[B]

I don't, I guess I just don't keep track of my money that way.

[A]

Like I. Oh, in the mathematical way.

[B]

Well, because if I get a new client and they do a paid in full, that's like a cash injection. So it to me, it depends on the month. Like the, that to me, we saw.

[A]

How much money you brought in this month. It was 6,500 and you spent seven. So this still doesn't make sense. That's an invalid statement. You just don't know how to budget. Go through our budgeting program. You get it for free by being a guest on the show. Go through it. Go through the investing one as well because we'll tell you not to be a with your investing like you're doing right now. And then also go through our new our debt class as well. So you can pay off your debt in the best way, but also learn how to utilize debt properly in the future. Please go through all our programs. We spend like six months building each one working with experts. Go through them. They're designed for you. Okay, Please.

[B]

I will, I will go through them.

[A]

Thank you. Many follow up guests. Come on. They're like, oh, I didn't go through it. And Then they're they still up. Don't do that, guys. For just a few weeks only, our brand new debt class is 35 off. And the first 5,000 people that sign up are going to get access to a private live stream with me where I break down how I got out of every single single cent of bad debt I was in. I'll answer all your questions there as well. In this debt program, we don't just focus on paying down debt. I'll show you how to actually reduce the principal you owe. You'll also get seven powerful strategies to lower your debt, plus 10 tools to fast track your journey. This includes a custom debt calculator that shows you exactly how long it'll take to become debt free. But it's not like other debt programs where we're like, oh, don't get debt, that's all bad. I'll also teach you how to use debt to your advantage because believe it or not, the wealthy use it as a tool and you can as well. I'll teach you the right frameworks for taking on debt. You'll get guides on refinancing, negotiating with lenders, and even raising money to tackle your debt head on. Check it out, guys. Limited time only. Link in the description below. Go ahead. What were you saying?

[B]

I will go through it. I. I think what I see is the opportunity for me to get a new client like every single day. And if they do a paid in full, then that immediately puts me over like whatever recurring I get. So that's.

[A]

But that's. It is literally not correct though. We have the numbers, it's just not though.

[B]

I understand, I understand you have like those set numbers though. Every month could be different, but like you said, you have one snapshot of one month.

[A]

Okay, you told me your average was.

[B]

4,500 so far for this year. But that doesn't mean that I can't reach like 10k because.

[A]

Because. Because at some point in my life I might make a billion dollars. I may as well go get a yacht, right?

[B]

Maybe.

[A]

No, that's stupid. That'll make me die in poverty. That's where you're headed.

[B]

You'd have fun on the yacht though.

[A]

Yeah, until it got repoed. After one day.

[B]

The best day of your life.

[A]

Yeah, until you get evicted from your apartment because you can't pay it.

[B]

But that won't happen.

[A]

What? Says who? You spend more than you make. What are you talking about? You're just gonna miss it one day. Unless you have a great support system that'll just enable you and your bad behavior. What's your car, by the way? Minimum payment on the last one. I didn't say it. Minimal empty payment is 40 bucks. Okay. What's your car?

[B]

My car payment's 384 months.

[A]

No, what's your car?

[B]

Oh, Volkswagen. Year model 2018 white Tiguan.

[A]

Okay. You? Oh, CarMax. CarMax is. It's always so much more expensive than the real value of the car. There's no negotiation you can do on it. It's a 10.95% interest rate. So for example, here's. I just. Your brokerage. I don't remember what it was, but I opened my brokerage Moomoo. I go ahead, I buy some S&P 500. Just following the overall market, US economy, best businesses. Okay. I do that. Best I'm hoping for in return on an annual basis all up years, down years combined is about 10%. Your interest rate on this is higher. Meaning no matter essentially, if you're investing in what is one of the most stable investments, you're still losing money.

[B]

I was in a tough spot when I got that car.

[A]

Go on.

[B]

I did it. So at the time I didn't have a car. I was using my boyfriend's and his kept breaking down all the time. Like literally in the middle of the intersection, his truck would just break down. And so I was like, I just need to get my own car because I needed that independent. What part of town I was in that time.

[A]

Oh, now that's fair. What part of town are you in now?

[B]

Like off.

[A]

No longer fair. You have good public transportation where you are before you didn't. We bleeped the areas but in the first part, yeah, you actually wouldn't.

[B]

That's where we were living. And like that's why I needed car.

[A]

I can vibe with that. What was the purchase price of the car?

[B]

27.

[A]

Okay, you did not need a 27, 000 car. You could have got a ten thousand dollar car. So I mean sympathy eroded, right? You had me for a second back then.

[B]

I had my corporate job and I was coaching on the side. So I had two.

[A]

You still didn't need to get that. You still could have got a cheaper car and then paid it off quicker. And then all of a sudden you essentially would have had a cash car, paid for car, limited risk, over your head. This doesn't make sense. What were you making? What were you making?

[B]

80000 for my corporate. And then I was getting like 2 to 3 from coaching like per month. I mean but I I wanted like a bigger car so that it's like a. It's like a lot of wants. It's size suv. Well, yeah. Cool.

[A]

Now you can run over children more effectively. What?

[B]

I had two dogs, so I wanted enough room.

[A]

I put two dogs in sedans many a time.

[B]

Oh, it's terrible. They just pant in your ear. It's horrible to drive with.

[A]

Oh no. The existence of the dogs I love.

[B]

I. I want to be able to drive without them, like being in my space. So I got a big enough car that I could put them in the back.

[A]

Want, want, want, want, want pull from retirement. Want, want, want our entire future. Want, want, want. Your life is wants. I would prefer that you want to live a halfway decent, successful, safe secur. Life. I do retirement and a good business. No, you don't. Your actions aren't supporting that statement in any way whatsoever. Not at all. If you wanted it, I'd see some actions. There's no actions.

[B]

I do want that.

[A]

No, you don't.

[B]

I do.

[A]

The numbers would support it. They don't. You might want it, but you clearly want the wants. More than that.

[B]

I think that there's enough.

[A]

Like, I want to be skinny, but I want the crumble cookies out there a bit more. So there's the level.

[B]

See? But I get that. Like, I practice discipline and things all throughout my life. So that's.

[A]

Except for your finances. That's the thing that shows.

[B]

That's an area of improvement. But that's what, like, that's why I'm here. I genuinely want to.

[A]

Again, that's not a thing I. I.

[B]

Genuinely want to learn, like how to improve. I just.

[A]

Well, and obviously we'll get there and that's what we're doing. But we're sorting through where your behavior is, where your mindset is. And so far your mindset's in an area where if we give you a path to improve, doesn't lead to success. The. I had to get an suv so I didn't hear panting. I don't give a how much. We get something we can afford.

[B]

I thought I could afford that.

[A]

When money comes in, I'm able to justify these expenses because more money might come in. It's like, this is not how we're running a business. Okay. 13. 931.13. 10 point. What was it? It was like a 10.9 interest rate, minimum payment. 384.16. The car is worth $11,000. So you brought a 2,500 bucks off. Okay, okay, okay, okay. Do you know what that means?

[B]

I know. Can you explain that to me?

[A]

If you sold it, you need an extra 2,500 to pay off the loan.

[B]

Okay.

[A]

It's worth less than you owe on it, for what it's worth. That's most cars and most loans. That's not a uniquely you thing. But I'm a little terrified that you didn't even know the existence of that. I, or even what that meant.

[B]

I didn't know what that meant. That is, that is a bummer.

[A]

Oh, it's a bummer.

[B]

It's a bummer. Big bummer. All right.

[A]

What's fnbo?

[B]

First national bank of Omaha. It's my bank out of Colorado.

[A]

Is that where you're from?

[B]

It's where I lived for a long time, yeah.

[A]

Okay, so this is your credit card with them, your lovely personal bank lending you money and interest, no interest, actually. Is this an interest free period or do you pay this off every month?

[B]

I try to pay that one off every month.

[A]

What is try, does that mean you don't always pay it off?

[B]

Yes, like 90% of the time it's paid off.

[A]

You're not a credit card person. You're not a credit card person. You can't, you don't listen. It is okay that you're not a credit card person. Not everyone is. You don't need to use a credit card. It's a great perk, it's a great tool if you're disciplined enough to use it. If we don't always pay it off, you're not a credit card person. I think the, the kind of cards that I recommend for people like you are the fizz card. It's the kind of card where you put money on it, then you can only spend what is on it and then you still get the, the, the credit card rewards and you still get improvements to your credit score. So I like those. You. If you cannot put pay off a credit card, you are not a credit card person. You should not have a credit card because you do not know how to manage other people's money.

[B]

Why do people say to use credit cards then? That's what I don't understand.

[A]

One, Americans are morons with finances. We have record high credit card debt, record high consumer debt. So I don't really give a. And two, I would say use credit cards because you do get cash back. There are good bonuses, but that is if you manage them correctly. I would say use credit cards and then the part you close your ears to is if you can pay them off in time. Always.

[B]

So it's like a tool that you can use.

[A]

Yes. But also yourself with. In an unpleasant way.

[B]

Yes.

[A]

It's a bad tool.

[B]

Okay.

[A]

Which can be used for.

[B]

I mean, I can get behind that. It's like the scale. Like, you can step on the scale and it can either motivate you or it can make you want to give up and go eat more. So I get it. Like, I understand that it's like a tool. I just.

[A]

Okay.

[B]

I feel like I have good financial literacy.

[A]

No, so you shouldn't. You're not a credit card person, and that's okay. It's okay to not be a credit card. Credit card person.

[B]

Okay.

[A]

You don't need to be. Who cares?

[B]

What about the perks?

[A]

What perks? You're losing money and interest. Yeah.

[B]

What?

[A]

Cash back. You're losing it in interest. Cashback's probably 1 or 2%. You lose 30%. I'll ask you again, what's the bigger number? 1 or 30?

[B]

30.

[A]

Okay. Target. What's astound? Astound. What's astound? 62 bucks.

[B]

Electric or wi fi, Something like that. Astound.

[A]

Okay, Target. You're going into Target only spending a few bucks, so you're just going in, getting some bull. Likely flower market. Great med spa. $600. You can't afford to survive. Who the are you going to Med spot? $600.

[B]

It's part of my business. What I'm like. I'm a public figure. Like a health and fitness coach, a professional bodybuilder. Like, I have to keep my appearance up. So that's what that was.

[A]

Put some chop that up the pre pickle and put it on your eyes at home.

[B]

It's not the same.

[A]

Also known as a cucumber.

[B]

Okay. As a bodybuilder.

[A]

All right, guys, I get it. You need more financial audit. So we've decided now in our membership below, you get two exclusives seen nowhere else. Unsettled, uncensored financial audits every single month. Oh, good. No way. Your couch hopping places I like stay.

[B]

At for the job.

[A]

You're relying on bookings for a place to live. Yeah. Also three post shows a week for every financial audit you're seeing right here on YouTube. In the post show, we have an extra 20 minutes for every single episode where we go into more drama that we didn't uncover in the original episode. We can't find you on Facebook. Did you block me on Facebook? No. No way. And then included in the membership, every Tuesday, we have a member live stream where you come in, you hang out with us, we answer your questions and the whole crew gets together. We play games, we mess around, and we chat with you. I have a pair of salmon shorts on that desk ready to change into right after this. So you dress like for the first time when you go on a date. Then there's always extra bonus things, like, for example, an office tour. The team grew. We have to eat out of here now. So this was gonna be the fun area. Now it's not. We upload hours and hours and hours of extra content just for you, and it helps support the growth of this channel and the growth of this business. Join the membership link in the description below.

[B]

When you. You eat a lot of food, your masseters get like massive. Right. Because you're chewing all the time. I eat like five meals a day, lots of meat and my masseters were getting massive, like, distorting the. The look of my case.

[A]

You just can't afford this. You have all these reasons for things, and they're not always the absolute worst reasons, but there is still the mathematical reality is you cannot afford this. Like, you can't. Your debt is getting worse. Your debt is getting worse. You cannot afford it. Like, where do we go? You know, where do we go when we just can't afford it? Like, what. How do we improve from there? Also get a massage for like 75 bucks. Why don't you go every other week? 75 bucks is cheaper. 150 bucks instead of 600.

[B]

Because it's not a massage. I needed Botox.

[A]

Oh, this is Botox. Sorry, I don't. I think I glossed over that.

[B]

It's.

[A]

You need Botox.

[B]

I wanted it. I wanted Botox so that my face didn't change so drastically.

[A]

Get an ugly face. Who cares? Not actually. But was that. Is that. Well, first of all, did you. Did the doctor tell you to do this? Medically diagnosed, no.

[B]

But for me, like, okay, then I don't give a. Do what a doctor like Botox nails, waxing, hair, like this upkeep. It's important to me.

[A]

Sure.

[B]

Like to. It's not just, well, I have a.

[A]

TP fund and I want it.

[B]

It's. I, I need.

[A]

Hold on. Let's not put Botox in the same scale as hills and net nails and hair. I will support, you know, things for self confidence. Absolutely. But again, but this is coming down to you literally cannot afford this. We can, we can probably get you a haircut every once in a while. Absolutely, we can afford that. And in the TP fund in the end of the budget will have room for nails. Absolutely. Are you going to go super extravagant? Not necessarily. But maintenance and just looking good. Sure. $600 Botox is not the same.

[B]

It's self care to me.

[A]

Your self care. How about your self care? Being able to literally be able to have a healthy retirement again, I don't think people like you understand this. I really don't. What happens when you get to retirement with only like $50,000? You're not going to be able to do anything and who knows what Social Security is going to look like. It won't matter the amount of bot you had at that point. If you can't seriously afford to put a roof over your head, it won't matter if you are stressing and not able to sleep in your retirement years. If you are able to retire because you had a little less Botox and you're able to live a good self esteemed retirement. Indignity. I am okay with being the bad guy saying you're not allowed to get a couple Botox injections. Okay. Seeing you live an actual good decent life.

[B]

See, I disagree. I like, I think.

[A]

Oh, go on.

[B]

There's so much.

[A]

Let's have some logic.

[B]

I have so much time there. It's not like I'm. No, no, no.

[A]

You little. That's not how this works. That's not how this works. You know what time is? Time is compound growth in the market. The only reason people are able to retire by having a million dollar nest egg is because they put in a little bit amount of money when they were younger. You're already finishing your best decade of growth for compound or best decade of best decade in your life. For compound growth, you're entering your second best decade. This is giving you time. You put in 50 bucks. Now it becomes, you know, a couple hundred bucks. Put in 50 bucks. When you're in 50, it's only going to become like $55. It's completely different. Time is what you need. Giving up time is giving up your retirement. If you're not investing in your 20s and your 30s, you're done. You're going to have to play major catch up. Your catch up that you're going to have to do is invest in like 60% of your income. It's going to be something crazy that's going to be unsustainable. So that's completely wrong.

[B]

That's only if I continue the in this trajectory.

[A]

Huh?

[B]

But to me like I.

[A]

So we're banking on the hope again. I can Run, not invest in retirement because I'm going to be a billionaire someday. Yeah, because no, that's the dumbest thing again.

[B]

I mean Austin, like you never know who you're gonna meet here.

[A]

I think you're gonna meet Joe Rogan all of a sudden. Gonna look young forever.

[B]

Well, I just think that without Botox appearance is important.

[A]

I'm not saying become an ugly. No one's saying that. And also talk to a doctor about that. If that is an actual thing that they are saying. You, you are doing this on your own.

[B]

Yes.

[A]

I'd support it more if this was a medical diagnosis that they're like, you know, because of this. I want you to do this from under medical supervision.

[B]

I mean you could like, you could say that like your masseters cause headaches.

[A]

I would want a doctor to be guiding you through this instead of your own little GPT with money you don't have.

[B]

I, it's not like it's a monthly expense either though like that the Botox lasts me a while.

[A]

No, I know, but you just can't afford. How do you, I, I, I'm. Part of this conversation is going to be. This part of the conversation is really difficult for me because I serious, I don't think I could just get into your head. This is the concept of like you literally could not afford this. You did not have the money to pay for it. Like you could not afford it. It's as simple as that. Again, I would not care about the Botox if you could afford it. It's a different situation. It's as simple as you could not afford it. And you're banking it on getting Botox and birthing Elon Musk, 40th child in Austin to make it like okay, you go into Dutch Bros as well. You know, it's that important. Eating of the draw, one way coffee, north coast music. North coast music. North coast music. North coast music. North coast music. North coast music. Like the is going on.

[B]

I went to a music festival with my best friend.

[A]

You, you, you don't know. You don't know the life of saying no. You don't know the life of delayed gratification. You do not know the life of financial sacrifice. You're willing to take a step step back from your better paid job to make it more on your own. But you're not willing to cut back your lifestyle and that is going to destroy you. And you have no idea this bond that you are building right now.

[B]

To be fair, this was my first ever three day music festival to Be fair.

[A]

I don't give up before. I. I don't understand. How does that literally. Literally, how does that. How does that possibly combat anything I just said?

[B]

It does.

[A]

Guess what? I'm going to a music festival tomorrow. And if I didn't have money to do it, I wouldn't care if it was my fourth, first, or fifth. It doesn't matter.

[B]

I'm just trying to explain, like, my thought process behind why I did go.

[A]

And it was incorrect.

[B]

It was my best friend. Like, she and I.

[A]

She gonna die tomorrow. She have, like, stage a million cancer patient?

[B]

No.

[A]

Okay, then we can go next year.

[B]

Well, it sounds good when you say it like that. But, like, she.

[A]

Yeah, when you lose two seconds to.

[B]

Think she really wanted to do this festival and, like, friendship is really important to me.

[A]

Cool. Yeah. Will she be your friends? 3. Three days after it's done?

[B]

Yes.

[A]

Okay, then it doesn't matter. Take her for coffee. No. Sh. It's also about the fact that she doesn't live here.

[B]

She lives in Florida. So we planned to go to this music festival.

[A]

Also about the fact that you literally cannot afford it. That is all this comes down to. I am not against this as a concept again. I am going to Austin. Austin. What is it? Austin City Limits Live. Like, I'm doing that these next few days with my friends. I'm excited. It'll be fun. Chapel Roan. Beautiful. Especially in the green costume. And she's my lesbian wife. She just doesn't know it. The thing is, I can. I'm doing it because I can afford it. If I couldn't afford it, I. I would be doing a little bit of sacrifice.

[B]

So I guess I was. But you don't know up until that point that I would be able to afford it. Like, my. My hope was that I would get, like, new clients and I would have more income.

[A]

Oh, that's interesting. So maybe our little May. Maybe our little concept of I'll be able to afford it in the future didn't work. So why is it going to work in the. Why is it going to work now? You. So you're still living that mindset. That's how you've been able to back up all your spending so far is because you're going to make more in the future. But you literally have an example right here where you thought you were going to make more than you did. You didn't. And now all of a sudden, we're putting out a credit card. It's more than we make. You've proved it. What are you Doing the definition of insanity. Same thing over and over again. Is that what your life is? Is that what you're trying to do?

[B]

It's not what I'm trying to do.

[A]

Okay, well, it's what you're doing.

[B]

It's what it looks like, but I.

[A]

Are. Have you had dumbbells hit your head?

[B]

Not recently.

[A]

Okay, what do you mean? That's what it looks like, but it's not what it is. How. How does that stand up to me?

[B]

Like, the experiences that you have in life are more important than worrying about, like the day to day.

[A]

Okay.

[B]

Minutiae. And so I like.

[A]

No, you know what? And that is fine. So we're done then, right? So we're done. That. That's okay. That's okay. If that is how you want to live your life, that is okay. I support. Whoa, hold on, hold on. I support anyone deciding to live their life however they want to, as long as it doesn't directly hurt someone else. If that is how you want to live your life, that's perfectly fine here. The intent behind here is to lear. To manage our finances so that we can have a chance for, you know, decent retirement. Building a business, whatever it is you want to do, that's what we do here. If to you living life is more important than that in terms of getting the instant gratification of fun, fine, that's okay. But that means this is done. That means this conversation is done. That means there is no point of this because you are not ready for this. That means you don't care about this enough. You care about the other thing more.

[B]

I do care. I. I guess I'm not more.

[A]

You care more about the experience of going out and around.

[B]

I. I want both.

[A]

You can't have it. That's not how life works. Sometimes you need a little bit of sacrifice. Especially while you take a pay cut in half. In order to have your own business, sometimes you have to have a little bit of a sacrifice. Just a little bit, even a little bit of a sacrifice so that you have a better chance of success in the future. And that's okay. It's okay to have delayed gratification, huh?

[B]

I can do that. I can.

[A]

Then why haven't you? It's the question they can never answer.

[B]

I haven't had any.

[A]

You're going to Miami. Oh, you already did. Hold on. You went on a 3000 hour trip just a couple months ago.

[B]

I did. It was.

[A]

That's basically your monthly income.

[B]

It was my best friend's birthday.

[A]

And yeah, we never have Any of those.

[B]

She had a hard year. I wanted to.

[A]

What was her hard year?

[B]

She went through a really hard breakup. She moved from New York to Houston and she was a tragedy. She just had a lot of things happen in her personal life and she deserved a fun birthday.

[A]

Okay. Could she have come to you? Come to you? Also? $4,000 is not required to get to Florida. It's like, that's the crazy part. If it was like I was seeing like a 500 thing, would I be happy? No, but it is very different than $4,000.

[B]

She's.

[A]

What did you get her like 50 strippers to make her year better?

[B]

No, she's a bougie friend. We went out to a lot of like high expensive.

[A]

I don't think she's bougie. Because you were spending all the money.

[B]

I guess like I am too when it comes to my friends. But huh. Like I paid for the hotel. Oh, dinner.

[A]

Oh.

[B]

And we went to high end restaurants. Oh, we're like four or five.

[A]

So again, that is what you choose over having any financial security ever, having a successful business over having anything of retirement. That is what you choose is a bougie lifestyle that you can't afford. Think you're entitled to it. I mean you're not, to be very clear. You're not.

[B]

No.

[A]

If you can't afford it, you can't necessarily get. Unless you put it on debt. And that's what you're doing.

[B]

Yeah.

[A]

Just because you're born doesn't mean, oh, here's a one way ticket to going and get an initial Michelin star meal every night.

[B]

I don't, I don't think I'm entitled to it. I, I genuinely just like treating my friends. That's what I, that's what I thought. Like I didn't try to think about the money aspect of it. I was just trying to think about how I could make it memorable.

[A]

Yeah, well, I love the heart of it. I love the heart of it. I like to, this is, you know, get things, got the office, you know, cookies today. I like to, you know, whatever, whatever the random thing is, you know, sometimes I just pay for dinner. We went to dinner a few weeks ago and paid for dinner. You know, I like to do it as well. It's fun. It's fun. You know, when you're in a blessed position that is like truly just blessings and just that you just kind of stumble into. You're like just lucky. It's like. Yeah, you want to just. When you want to treat the people around you that you love.

[B]

Yeah.

[A]

That's great. Again, this comes down to the thing I've mentioned multiple times in this conversation almost more than anything. You just couldn't afford it. And that's all. That's. That's how it works in the end. There is a mathematical equation here of one minus one equals zero. And you. You know.

[B]

Yeah, I know.

[A]

So like, you just couldn't afford it.

[B]

I. I'm hearing it.

[A]

Yeah. But will your actions reflect you hearing it? That's what I'm worried about. Oh, and be glamorous. 276. What is this? Where was the Botox this time?

[B]

I think that was hair. Haircut and style.

[A]

We got our in flight. Wi fi. Be a shame if over the Gulf of Mexico we couldn't scroll through. Tick tock.

[B]

I was trying to work on the plane.

[A]

Your work is work from anywhere. You could have waited. Oh. FNBO again. Oh. Is this a checking account? So is this all your debt?

[B]

That perhaps. Yeah. What is it? Car card.

[A]

Southwest.

[B]

Yeah.

[A]

Volkswagen. FNBO.

[B]

I owe my dad $4,000. Why?

[A]

Listen, if we owe a family member money, we're really not doing it because that's personal. That's when we do not get to have any paid for fun. You are grinding to pay off a family member. Why does. Why do you owe your dad? Why do you owe your dad $4,000?

[B]

So when I quit my jobs in February, I was also living downtown in a place that I could no longer afford. So I needed to move.

[A]

Okay.

[B]

And I had also just gone through that. Breakups and stuff.

[A]

The breakup. Breakups are sad, but that doesn't mean we just destroy our lives.

[B]

No, no. I. 100. I agree. I just like to be totally transparent. Like he was helping me financially as well.

[A]

Okay. Okay.

[B]

So he no longer was doing that.

[A]

That. That's valid.

[B]

And then, yeah, I needed to like, move out of my.

[A]

A little less valid because you should have had an emergency fund. And we don't quit a job before we have an emergency fund. And your emergency fund would have been able to cover a breakup. But I do get it.

[B]

Yes. So I. I called my dad and I only asked for enough to like cover getting out of my lease and getting into a new, cheaper lease. But he. He gave me a lot more than I asked for.

[A]

Yeah, but you owe it.

[B]

I do.

[A]

So it's not gave. He. You lended. He lended. You have like a minimum with the payment set up. Hopefully it's zero percent interest.

[B]

No, he has not asked me for repayment yet.

[A]

Okay, what is the conversations around this Ben then, for the future of this?

[B]

I. I've been waiting for him to bring it up and he hasn't. So what?

[A]

Is that what a loving daughter would do?

[B]

No, I mean, my plan was to try and see him at Christmas. I haven't seen him.

[A]

Wait, when was this? When did you borrow this?

[B]

Back in February. I wanted. Well, I wanted to see him in person and like, talk to him about it, but I.

[A]

Where is he?

[B]

He's in California.

[A]

Okay, Make a phone call. Do it.

[B]

Okay.

[A]

Sometimes we call people in the post show. Maybe we'll do that. Have you borrowed money from your dad in the past or is this the first time?

[B]

This was the first time. Okay.

[A]

You borrowed money from friends or family in the past?

[B]

No, normally friends borrow from me.

[A]

It's okay to fall back on loved ones. It is okay to have a good support system when going through a hard time. But again, you did quit this job without an emergency fund or any plan. Understand the job wasn't great and we probably didn't work with someone great, but then we're also getting a replacement job at the time or working a few jobs to make ourselves survive. You know, you wanted to run the dream of you owning your own business, and you put that desire above being able to pay your bills, to be a responsible adult. Yeah, again, the breakup, that's something we can't control. But again, that's where an emergency fund comes in. Really does. That's why I always say it's so much risk to have so much dependency on someone that you're not married to, because you never know what's going to happen. Deaths happen. Breakups happen.

[B]

Yeah.

[A]

Okay, so in the checking account, it's almost 4, 000 bucks for this show. That's incredible. Actually, I would just say that's incredible. That's great.

[B]

I think that's my emergency fund.

[A]

In a checking account. Well, I have an account where we're spending money. No, okay, that's not an emergency fund. You put it separate. You only touch it in the case of a emergency.

[B]

Okay.

[A]

Yes. I'm gonna just. You know what? Every guest on here gets a certification free, thanks to course careers. They're great. They help people get jobs. But obviously you already have the job. But you should get the accounting certification so you can learn how to do accounting of your own business. Okay? So just take it.

[B]

Okay, I can do that.

[A]

Life hack wellness. Oh, $95. Oh, I read the balance. Okay. What is. Is that your gym?

[B]

What is it called?

[A]

Life Hack Wellness Life Hack Wellness. Oh, come on. You're spending a hundred dollars on it. You don't know what it is. You don't have money.

[B]

I also.

[A]

You started with a thousand dollars, so that's not an emergency fund. That wasn't stagnant. This is where iv.

[B]

I don't.

[A]

Oh, hold on, hold on. That's an important thing to note. You started with a thousand dollars at the time of the statement. It ended at 4, but that doesn't mean it didn't go down to 1. I'd consider it that savings account that you were saying, if it was starting and ending about the same. But I think we just got lucky at the time that the statement was pulled.

[B]

Oh, maybe I just got paid.

[A]

Oh, good.

[B]

I have two checking accounts and then one savings account, so they're. I'm not sure which one you're looking at, but I use.

[A]

I told you. Fnbo.

[B]

Okay, okay.

[A]

And then, you know, we stopped in. Probably get a little drink from Publix, Netflix subscription, Apple in app, something. Some raw sports supplement, 151.

[B]

That's like my vitamins and supplements and.

[A]

Stuff, which is great. But the thing is, listen, maybe this business is too expensive for you to do. Maybe you're not charging enough. Maybe you don't have enough clients. Maybe your business isn't good enough. Because, again, it's not like some of these are invalid.

[B]

Right.

[A]

They're just not paying the bills.

[B]

I get that. I. I use those specific supplements because I'm hoping to get like, a sponsorship with them. So I. I've been like, I've been using those supplements for a while, and it's an investment into my health.

[A]

That part I'm okay with. No, you don't use them with the hope of getting a sponsorship. I'd probably connect to an agency, have them, because they have representatives that will go get you brands that you feel comfortable with. You're not using a brand, hoping to get a spot.

[B]

Well, you. You can't get a brand sponsorship like in fitness if you aren't using their products. That's. That's like.

[A]

Well, no, you usually use it after you get the brand partnership.

[B]

Yeah, but that's not authentic. That's like, not genuine. You wouldn't. Of course you sign with a company.

[A]

No, no, no, no. You absolutely test. We test everything as well. But you are literally saying that you're only having this very expensive thing that you can't afford with the hope of getting the partnership. I'm not saying don't get a partnership unless you Test it or without testing? I'm not saying that. But you're using this so that you can get a partnership. That's not usually the path to a guaranteed partnership. You need someone on your behalf going out there and hounding.

[B]

Okay, that's, that's fair. I get that. I was just saying like I'm using it because I'm trying to open that door of opportunity.

[A]

Guys, for just a few weeks only, our brand new debt class is 35 off. And the first 5,000 people that sign up are gonna get access to a private live stream with me where I break down how I got out of every single cent of bad debt I was in. And I'll answer all your questions there as well. In this debt program, we don't just focus on paying down debt. I'll show you how to actually reduce the principal you owe. You'll also get seven powerful strategies to lower your debt, plus 10 tools to fast track your journey. This includes a custom debt calculator that shows you exactly how long it'll take to become debt free. But it's not like other debt programs where we're like, oh, don't get debt. Debt's all bad. I'll also teach you how to use debt to your advantage because believe it or not, the wealthy use it as a tool and you can as well. I'll teach you the right way, right frameworks for taking on debt. You'll get guides on refinancing, negotiating with lenders, and even raising money to tackle your debt head on. Check it out guys. Limited time only. Link in the description below. How long have you been here?

[B]

Isn't it raw sport supplements? Probably like over a year now and I know people over a year. I know people who are asking them. So I'm.

[A]

Well that's good. Again, I'm not against that part. It's your reasoning behind it that that was bad. Especially if you're using over a year lifting around. We know you pay a bunch for a car, so you must have been drunk as.

[B]

No lift.

[A]

Oh, Apple cash sent out to I don't know but 350 bucks. Apple Cash sent out. Oh my gosh. You don't know where your money goes. You don't know anything about your finances. Please go through the budgeting program. Peacock subscription. There's nothing on there anyway unless it's one of those sports games that they only put on there for some horrific evil reason. PayPal 150 out for that. Venmo 175AMC at least go to a Real movie theater. You live in the world of Alamo Drafthouse and a lot of other really good place flicks.

[B]

The Violet Crown. That sure.

[A]

Flicks. I pick movie house and eatery. Yet you go to amc also, you shouldn't be spending money, so don't go to any of them. You also went to AMC again. The farmer's Dog. Farmer's dog. I had them. The thing is. And what I was advised by someone who works with dogs very closely is that since there's. It's only mush. It's good for nutrition. But apparently they might not be getting all the nutrition they need, by the way, but either way, not as good for the teeth. So a lot of the teeth cleaning for dogs comes through actually eating the harder food. So I actually ended up switching away. Also, you can't afford it, so there is that Violet Crown. So you did do that. And then amc, we went back. And then the nail spa. Oh, there's the nails. Okay. We can do this in cheaper ways. You're. You just. You're just. Again, you live the bougie lifestyle. That's what you specifically said. Apple in Apple. I don't know. Gems. Who the knows? 18.66. But I mean now 85. You don't know where that went. You never know where your money goes. Spotify. You can listen to ads if you're spending more than you bring in. Cash app.

[B]

Yep.

[A]

$160. You don't know where it goes. Not gonna waste the time asking more. Lift ride. Google Workspace. Yeah, that's fine. Venmo payment. A thousand dollars to who?

[B]

Oh, God. I. I'd have to look at my history.

[A]

You don't know where you sent a thousand dollars?

[B]

I want to say I sent it to my best friend who was in trouble, but I. I'm not 100 certain.

[A]

Trouble? What trouble? You're in trouble.

[B]

I get. It's the blind leading the blind. Then I don't know what trouble she.

[A]

I have a gun to her head. Needed a thousand dollars.

[B]

No, she needed money for her car and her rent.

[A]

Oh, you're not in the position to loan. You're taking out loans. I'm sorry again. The heart. I'm not against it. I'm not against it. 1. Do you even know their financial situation? Are they spending money on funds?

[B]

Yeah.

[A]

Okay, then you're just enabling their bad behavior. They're not budgeting. They're relying on others to pay for rent while they're also spending their money on both. Okay, so one. This is bad move. You're not actually supporting them in the end. Two, you don't have any money. You're borrowing money from people. You're not lending money to people. You think they're going to pay that back?

[B]

Yeah.

[A]

Yeah. With what money? They can't afford rent.

[B]

She will. I, I don't know. I don't know her means, but she'll pay me back.

[A]

Oh, you don't know her means but you lend her money? Yeah, great. Yeah, we don't do that. I'll lend money, but I need to know their means first. I'll give money, but I need to know their means first because I don't want to support bad behavior. You enable them to never make corrections in their life, to always just rely on others instead of being self efficient.

[B]

That's fair.

[A]

More left donations to aspca. Again, I'm not against the heart. You just literally have no money. More farmers, dogs, king scoopers, lift ride, Dutch Bros and other in app. Apple thing. You went inside, got a drink from QT. Apple bill, Venmo. Payment $20.42. Doubt you know where that went because you didn't know where a thousand hours went. Lyft, more lift. Ulta. Gotta look fresh and pretty. You know it's all about that social media. Airport Dunkin Donut, Apple cash sent out when it's I got some BS Venmo 300. I'm not even gonna ask. Farmer's dog, Apple bill, Lyft, Kidder clips. Clips. Oh, kidder clips. Is that grooming?

[B]

I honestly.

[A]

Oh my. You don't know one thing. You do not know one single thing about your own purchases. This is crazy.

[B]

It might be like also, what do you lift everywhere stuff.

[A]

Where do you lift everywhere? Because I thought it was just going to be one or two times, but it's lift, lift, lift, lift. Four more times.

[B]

In this I might have been traveling. So like I was lifting to and from the airports and whatnot.

[A]

You probably can't afford to travel. No, you can't afford to travel. That's. That's the summary of this episode. You just can't afford bacon and jam. Alice Cafe Artisans Market.

[B]

Oh yeah.

[A]

Two lift rides. Apple in app HBO Max. Finally a good streaming service. Okay. The other checking account is just money back and forth.

[B]

Yeah.

[A]

I think this is what you're saying is your emergency fund because there's 4,000 here.

[B]

It's like in and out. Yeah.

[A]

Oh, but that's not our emergency fund because it started again with like 2000, so it's not consistent. Then 200 in this one. This is money back and forth worth. Oh, good. The retirement accounts. Violent crown. What is that? The violet crown. $240.

[B]

Oh, that's waxing.

[A]

Oh, I thought you were saying it was a movie theater, but it's getting your bear. Great.

[B]

Well, it's like my face, my armpits. It's everything. I. It's not.240 for just one waxing service. Yeah, there's a lot I don't know.

[A]

Holes are expensive. Thousand dollars in this Fidelity account. Great. And 24,000 in this one. Oh, beginning. 34,000 for sake. Where was it at its peak? Where was it at its peak?

[B]

I don't want to tell you.

[A]

Where was it at its peak?

[B]

45,000.

[A]

You're gonna. You're just ruining your life. You're ruining your life.

[B]

Life.

[A]

We're borrowing to spend more on credit cards, buying from our parents, giving other people money, spending money on bull. Can't justify our business expenses at all because we don't make enough to justify it. And if you write it all off, you're writing off more than you even make, so it doesn't even matter. While also training our retirement by half. I. I don't know. I don't know. See where you're at. Dude. What's your rent again? 27.

[B]

17.

[A]

17. 1775. Okay. Utilities all together, including Internet.

[B]

Probably like, 200.

[A]

Okay. Phone bill.

[B]

85.

[A]

Do you own your phone?

[B]

I don't think so.

[A]

Switch to helium. Fifteen bucks a month. Same towers as T Mobile, please.

[B]

Okay.

[A]

Will you do that?

[B]

Helium.

[A]

Yes, helium. Okay. Fifteen a month. I can put that in your budget. Thank gas. Vroom, vroom. Drive.

[B]

Drive, like, 35 bucks a month. I fill it up, like, once. I don't drive very much.

[A]

Oh, it's because you lift everywhere. Okay. I'm not putting that in your budget. Okay, then you definitely don't need a car. We're probably gonna sell it, like, actually legitimately. We might sell it lift if you need to in the extreme cases. Right. Are we willing to do that? You don't. You do not need your car. I. I know what part of town you live in. Totally fine. If you need to catch a bus somewhere, it's totally okay. Even get your relatively close to the train as well, which will take you north if you need to go north. If you need to go to the Domain or Cedar park.

[B]

For some reason, I. I only really drive to, like, gyms or.

[A]

Exactly. So we're good. Ride a bike. Right? We can sell our car.

[B]

Please, would I not what did you say about my car, though? If I sell it, I still.

[A]

You're about 2, 500 under. But which one's a bigger number? 13,000 or 2,500? Yeah, I'd rather owe 2, 500. And we can make that up. We can figure that out.

[B]

To sell my car. That's like independence, though. I don't. I don't have a bike.

[A]

We can get a bike if it saves us 13 or, well, $11,000. You're right. It is independence. And let's get you a car again. But if you actually can manage life without a car, this gets us to true independence much quicker. Right now you're dependent on debt and pulling for money from retirement. You don't have independence.

[B]

How long would I have to go without a car?

[A]

You're not down for this. You're not down for this.

[B]

That's tough.

[A]

We're talking major sacrifice here. But for major results. Major results.

[B]

Just sell it back to Carmax.

[A]

I'm gonna give you 400 for groceries because I know you probably need a little special extra with your crap, but meal prep, meal Prep, meal prep. 400. Totally fine. TP fund, also gonna give 150 because just for extra for some supplements.

[B]

It's.

[A]

Anything else you need to survive. Get in the nails, get in the hair, you spread it out. But 150 bucks a month on average. Car insurance, which hopefully again, we can.

[B]

Cancel, but car insurance, I think it's 150.

[A]

Okay. Any CO pays that you have to do on a monthly basis. How much for your gyms? I know there's three.

[B]

I have three.

[A]

Do we need three?

[B]

No. I could probably go down to two.

[A]

How much for the two then?

[B]

100.

[A]

100 both together?

[B]

Yeah. Like total.

[A]

Let's do that. Let's do that. Subscriptions? No. But you have a pet, right? Just one dog?

[B]

He doesn't live with me right now. He's in another state. But I do pay for his food and stuff.

[A]

Does he have pet insurance?

[B]

Yeah.

[A]

Do you pay for that?

[B]

Yes.

[A]

How much?

[B]

I want to say it's like 50 bucks a month. And then his farmer's dog stuff, I.

[A]

Think we go back to Kibbletune. Just really good, high quality, though, for full nutrient. And teeth. Okay.

[B]

Teeth health.

[A]

I'm gonna say 100 bucks for food. Okay. You're gonna get pretty good stuff. Okay. Okay, I'll show you. We have a dog trainer influencer, like one of the biggest, who subleases the space here and the really good food that I also feed my dogs. Is in there. I'll, I'll show you.

[B]

Okay.

[A]

It's, it's like what to do your debt payments again? Get rid of this car all of a sudden. Oh, we're rolling, dude. Just not in a car, rolling.

[B]

On a bike.

[A]

On a bus. Nothing wrong with a bus. And it has a negative.

[B]

I think it's like a fear thing. I've never done it. You know what I mean? Like, okay.

[A]

I mean you're a big boy, so I'm a girl. Oh, even better. A fitness one. Bodybuilder. You can.

[B]

I just feel like sometimes people on the bus are like.

[A]

Exactly. That's a stigma in this country. Austin's one of the safest cities in the country. You'll be okay.

[B]

The homeless population's crazy compared to a.

[A]

Lot of other major cities. It's actually not though.

[B]

Really.

[A]

It's the thing.

[B]

Maybe it's just like downtown area.

[A]

Yeah, downtown. You know, dear. Especially near the ark. Yeah. But also, just because someone's homeless doesn't mean they're gonna knife you.

[B]

No, I've just had like bad experiences. Like they'll like throw stuff at me. Sure.

[A]

We've all had the downtown experiences. Yes, I get it. Yes, yes. Okay, so 464 16. Also bike. 46416 is your debt payment. But again, are we gonna get rid of the car? I need to know.

[B]

I could get rid of it now.

[A]

I need to know if you're going to get rid of it.

[B]

I'll get rid of it.

[A]

There we go. Beautiful. Our debt payments, you know, it goes down from 464 to 80. And I'm gonna for bus, we're gonna get a bike. It's gonna be a one time investment. We don't have to put that in your reoccurring budget. But let's put for public transportation. I think 50 bucks should be fine. Okay.

[B]

How much is a bus ride or.

[A]

A train ride specifically? Train. One of my friends takes it every day. I can ask him. Bus, I don't know. You can get monthly passes. I do know that. But actually I'm going to turn this into a hundred dollars for occasional lifts for when you need that situation again. We're going to get you a car quick. But this gets you out of your debt situation and risk. Plus it's over 10 interest. So let's add all this up and I think we can get you to a good situation. Your rent, you need to downgrade. When's your lease up?

[B]

June, 2025.

[A]

It might be worth trying to Break it. You need to spend a thousand dollars on rent, Max. Getting yourself a studio. Yep. We've priced it out. It's a million times possible. We've priced it out. You'll be totally fine. 29, 70, you have an extra 500 even with that crazy rent. $530. But even with 530. Okay, first month, you can pay off FNBO. Boom. You've eliminated a minimum depayment. Then Southwest, you know it's going to be paid off in under six months a little. But let's just be conservative and say six, seven months, you're debt free. Seven months. What is seven months? Nothing. Seven months is nothing. Come on, world. Seven months is nothing.

[B]

Okay, okay, okay.

[A]

All right. Boom. You're debt free.

[B]

Oh, well, Dad, I do owe dad.

[A]

What do we want? I think if we have a conversation with dad, see if we can get a fully funded emergency fund and then pay him back.

[B]

Okay.

[A]

We just need to see what he's okay with. Okay, so we need 2,890 times six. Your emergency fund needs to be $17,340. Without emergency fund, without your debt, that's six months of your living expenses. Because your rent is so high it's not even including any business. But either way, at that point, that's what's going to take a long time to pay off, man. I mean, that's gonna not pay off, but that's gonna take like 30 months. That's gonna take two and a half years. But you could be totally debt free except for dad, and have a fully funded emergency fund in right around three years. But here's what we're gonna need to do. I'm gonna need to get that emergency fund a little quicker, pay off the debt, all that stuff. That's reasonable. Seven months. That's reasonable. I need you to get an emergency fund a year after that. And how do we do that? That I'm gonna need without your expenses going up too dramatically. You're either getting a second job, something close to you that you can get too easily. Coffee shop something. Doesn't matter. We know you love going to them. Cutting down your business expenses. Well, I mean, this is the budget I gave you, so it has to be that. Yeah, second job. Or increasing your business revenue. Because I need you to get the emergency fund in one year after seven months of paying off the debt. Yeah, you can make your debt pay off quicker if you, of course, go get that second job or bringing more clients down. And obviously the easier one is getting a second job. So I think that's what we're doing immediately. If you bring on more clients after that, I'm okay with getting rid of the second job. But you need to bring. Because we're setting money aside for taxes again. In, in my budget, we're setting money aside for taxes. That's why you have that 3, $500.

[B]

How much are you setting aside for taxes from now?

[A]

Or I did the math wrong. You have 3150 after setting aside 30 for taxes. But I'm thinking aside 30, let's call it 20. So let's say that's just about accurate it because you're not going to be in the 30 range anyway. Okay. So I need you to go bring in a minimum extra 500 so we can speed this up quicker. Extra 500amonth after taxes?

[B]

Okay.

[A]

Yeah. If we do that. If we do that. I think besides dad. Besides dad. And this is just, you know, rounding.

[B]

But so we could. Well, because I guess I had a question.

[A]

Yeah, you can do that in a year and a half, dude, you can be out of this in a year and a half and then dad after that.

[B]

Okay.

[A]

Which is great.

[B]

I guess I'm wondering, like, because my monthly income is like, it goes through fluctuations, of course, how do I, like, plan for the future after that? Like, obviously I do have to get rid of debt. I do have to.

[A]

Absolutely. And sometimes, you know, when it's a situation like that, sometimes we have. Have the emergency fund, but then we also have another little savings account that helps offset the lower months. But then we refill it in the higher months so that you're living on a more stagnant basis. If we're assuming our average is about 3, 500. There's a lot of other strategies we go over in the budgeting program for you to take as well there. But I mean, that's a good, just simple method to do it as well. So, yeah, I think you can get out of this year and a half. Just go make a little bit more money, which isn't crazy, to bring an extra 500amonth after tax taxes with the time I know you have. Okay. Okay. Yeah. And then you pay off your dad. That shouldn't take only more than just like four months after that. And then guess what, we save up $10,000. I think in two years, you're getting a cash car two years from now, if you're doing this correctly. Go make more than that. You can sweet it up even quicker. You're not in a bad position if you sell your car well, we do have to get up that extra 2,500 hours that your mix. So I think we're only extending this a couple months because of that though. So it's actually not that crazy. Let's be conservative and say two and a half years. So you have a paid for car and. No, you have a paid for cash.

[B]

Car and no debt.

[A]

No debt and a fully funded emergency fund. No risk over your head. Meaning you can take more risks in your business.

[B]

How? What's the budget for the car?

[A]

The fully you can get a $10,000 car in cash.

[B]

Okay.

[A]

In. In that time span, if you go bring extra 5, $750 on a monthly basis.

[B]

Okay.

[A]

All said, easier than done because we're doing this in an hour and a half. But again that is just a brief way of doing it. It's a more simplified version. But those are the general steps you need to take. Okay.

[B]

Okay.

[A]

And we'll be connected along the way and you'll come on for a follow up and we'll see how you're doing and we'll, you know, I'll be like, okay, this is what we need to tweak. But go through all the education as well. Okay. But you guys can take advantage. Link in the description below. I know the debt one, the new debt one on how to utilize that and pay off debt. Debt is on sale right now. Spending a budget. 0 out of 10. You overspent debt, no collections, not the worst debt. Borrowing from data, we don't like that. So that is going to bring it down. But 2 out of 10 emergency fund, there's technically money in that other account but it's very fluctuating. So I can't count an emergency fund as high as I'd like. I'm going to give it a 2 out of 10 there. Retirement we're draining from retirement. Luckily you still do have some retirement. But now we're draining. We're getting lower and lower. 3 out of 10. Real estate, 0 out of 10. I think you could fix that within a decade if you wanted to. Easily. Your Hammer financial score is 1.5 out of 10. Make sure to join the post show. Maybe we will call the. Who are we gonna call your dad about the debt? Maybe we'll call the dad. But we'll definitely talk about more drama and bringing the producers. So join that and check out the new deck class which is at a large discount for the first month. Link in the description below. See y' all in the post show today on the financial audit post show, are you going to acl?

[B]

I was thinking about it.

[A]

No, you're not going. You're not going. There's a music festival. You're. You can't go to another music. You're not going.

[B]

I don't have tickets.

[A]

You're not. Good. But you can buy tickets. You're not gonna go, right? You're not gonna go, right?

[B]

No.

[A]

You wouldn't leave here and not go, right?

[B]

Okay.

[A]

Right.

[B]

What if my friend has an idea?

[A]

No. Oh, for free, maybe. But you're not gonna spend money on drinks of food in there, right?

[B]

No, I can't.

[A]

Right.

[B]

I don't. I won't drink or eat.

[A]

Good. Good. Because you don't have money, right?

[B]

Right.

[A]

To watch the Financial Audit Post show, click the join button below.