"Sugar Baby" Blows All His Sugar At Casinos

Summary

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Financial Audit – "Sugar Baby" Blows All His Sugar At Casinos

Host: Caleb Hammer
Guest: Brandon (age 19, Dallas, TX)
Release Date: October 6, 2023

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Episode Overview

This candid Financial Audit episode features Brandon, a 19-year-old student from Dallas, Texas, whose financial journey is marked by work hustle, debt missteps, impulsive purchases, and formative (and sometimes wild) teenage experiences—including gambling and being a (non-romantic) sugar baby. Caleb Hammer confronts Brandon’s choices, unpacks his spending habits, and offers tough love on how to turn things around before poor patterns become lifelong problems.

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Key Discussion Points and Insights

1. Brandon’s Background and Education

• Work and School Load: Brandon juggles three jobs (sometimes up to 75 hours weekly) while attending Ashworth College online (psychology major, semester 5).
• Nontraditional Path: Kicked out of high school for truancy due to working (e.g., Taco Bell shifts up to 160 hours/month), he completed an accredited online diploma after a false start.

2. Early Financial "Wins" and Blunders

• Big Paychecks, Little Foresight: At 16–17, Brandon worked a lot, making as much as $2-3k per paycheck at Taco Bell, but had little financial guidance.
• Expensive Life Lessons: Wasted money on an unaccredited school, paid more for an accredited one, demonstrating a pattern of seeking quick solutions at high cost.

3. Debt Spiral and Car Drama

• Personal and Auto Loans:

  • Took a $2,500 personal loan in teens “just to have,” at 13.59% APR, now $996 remaining.
  • Bought a $33,000 car (with dad as reluctant cosigner), then disliked it and quit job, leading to more borrowing.
  • Later bought another car; ended up with $19,502 at 14.84% interest because of rollover debt and insurance complications.

  Caleb: "Way more car than you need at your age... Trying to go to college, having to work three jobs, 25 hours minimum at each job."
  (11:04)

  Brandon: "I just wanted to call, like, my first car. That was my favorite car."
  Caleb: "Yeah, I'd rather you not have debt. How about that?"
  (16:10)

• Poor Justifications: Consistently upgraded cars instead of opting for reliable, inexpensive transport, often for superficial reasons (like the sound system).

• Insurance and Accidents: Multiple coverage scenarios, one totaled car, and gap insurance that saved him once—but led to holding multiple loan balances at once.

4. High-Interest Credit Card Usage and Cash Advances

• Credit Card Debt: Opened a USA Visa at 18, carrying $4,181 (23.15% APR), using cash advances without understanding their cost.

• Erratic Payments: Despite regular income, credit card balance barely decreased due to cash advances and fees.

  Caleb: "Cash advance is like the worst thing you could possibly do from a credit card."
  (19:36)

• Banking Structure: Several savings accounts for "impulse" control, but money moves in and out—these are not real savings.

5. Impulsive and Addictive Spending Patterns

• Jewelry: Spent $15,000 on jewelry in the previous year; much of it now sits unused.

• Gambling:

  • Slots, Scratch-offs: $11,000 in a single year (age 18).
  • Still occasionally buys scratch-offs (e.g., $150 at 7-Eleven, (35:45)), claims it’s no longer a recurring habit.

  Brandon: “Last year was bad.”
  (37:00)
  Caleb: "You spent $11,000 last year at 18. At 18. On gambling."
  (38:10)

  Brandon: “I don’t recommend it at all. It’s like a full time job and a lot of these people are creepy, so.”
  (30:55 – regarding being a sugar baby)

6. Past as a "Sugar Baby"

• Teen Sugar Arrangement: At 16–17, received up to $5,000/month from a 68-year-old man (non-sexual, but for company). Ended it due to discomfort and safety concerns.

7. Income, Budgeting, and Stalled Progress

• Monthly Income: Averaging ~$2,200, with upswings from Instacart.

• Current Expenses:

  • Debt payments: $723/month
  • Medical debt: $120/month ($700 total for panic/heart attack hospital visits)
  • School: $351/semester
  • Minimal to no rent (lives with mother), little food budget (mostly covers personal care).

• Budgeting Attempts: Knows about 50/30/20 budgeting but not consistently applied. Struggles with discipline and follow-through.

• Caleb’s Summary:
  "You’re pushing back on everything... Lean on those who know more than you. It's ok to accept you might not know everything."
  (45:14)

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Notable Quotes and Memorable Moments

• On Car Mistakes:
  Caleb: "I'm not going to be able to justify 14.84% interest rate on... really, any debt. But if you're gonna have debt, you're not in the point where we can potentially come close to justifying it."
  (16:15)

• On Gambling Addiction:
  Brandon: "Friends used to joke with me, they'd be like, you need to call that number on the back of the thing."
  (37:40)

  Caleb: "If you go back and you end up doing that, please recognize you have a problem. And then please seek help, mental health wise."
  (38:42)

• On Stagnant Progress:
  Caleb: "For this last year that you've been watching the channel, you haven't sat down once and looked at where your money was going?"
  (42:36)

• On Mental Health and Addictive Tendencies:
  Caleb: "I think mental health is important in this... I'm scared about that. So I want you to think about that and pursue a couple things."
  (57:58)

• On Being a Sugar Baby:
  Brandon: "I was always thinking... money was always coming in, like, do a sugar daddy... I don't know if that's, like, really..." (28:33)

• On Parents Being Right:
  Brandon: "That's what my stepmom tells me all the time."
  Caleb: "And she's right. And your dad was right about the car."
  (60:12)

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Caleb’s Financial Roadmap for Brandon (53:58–58:30)

1. Emergency Fund:

   • Build a one-month emergency fund first.

2. Target Debts in Order:

   • Pay off medical debt ASAP (two months).
   • Pay off personal loan next.
   • Stop all savings contributions while in high-interest debt.
   • Pay off credit card (6 months, $4k balance).
   • Tackle car loan last (up to 20 months).

3. Stop Problematic Habits:

   • Cut up all credit cards—Brandon is not a “credit card person.”
   • Consider therapy or group support for impulsive spending/gambling.
   • Sell jewelry to quickly accelerate debt payoff.

4. Long Term:

   • Once debt-free, fully fund 3–6 months emergency fund.
   • Switch to 50/30/20 (or 40/40/20) budget, investing 20% minimum as income increases.
   • Focus on a career in nursing if that's the goal—pivot coursework now.

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Important Timestamps

• 00:00–03:12 – Brandon’s background, education, and work ethic
• 04:18–14:17 – Early debts, personal loan, missteps with car purchases
• 19:00–22:57 – Credit cards, cash advances, payment mistakes
• 25:05–28:24 – Impulse spending, jewelry story, explanation of multiple accounts
• 28:33–31:45 – Life as a sugar baby
• 35:42–38:38 – Gambling confessions, $11,000 loss
• 42:25–44:47 – Budgeting issues, why he hasn’t changed
• 53:58–58:30 – Caleb’s step-by-step plan for Brandon
• 58:05–60:15 – Final reflections, optimism, and warnings

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Tone and Style

• Caleb: Direct, tough-love, pragmatic, but not judgmental. Frequently peppers advice with real world examples and relatable analogies.
• Brandon: Open, honest, self-deprecating, occasionally defensive but receptive to advice.

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Final Thoughts & Hammer Financial Score

• Hammer Financial Score: 1.5/10
  • Spending/Budget: 3/10 (unnecessary outflows, inconsistent tracking)
  • Debt: 2/10 (could be worse, not in collections yet)
  • Emergency Fund: 3/10 (some effort but not where it should be)
  • Retirement/Investments: 0/10 (age-adjusted, expected)

Caleb: “[Brandon] has a really bright future ahead of him if he actually follows what we talked about... But he will be a 5 out of 10 before he knows it.”

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For Listeners

• Facing similar issues? Assess your debts, be honest about addictions, cut up credit cards if you can’t use them responsibly, and don’t be afraid to seek help.
• Don’t repeat Brandon’s mistakes—especially with high-interest car loans, gambling, or living beyond your means due to “easy” money.

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Key Takeaway:
Brandon’s story is a whirlwind of hustler energy, teen mistakes, and evolving maturity. With honest self-assessment and heeding expert advice, it’s never too late to recalibrate and lay the foundation for a healthy financial adulthood.

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Transcript

[A]

Hi, my name is Brandon. I'm 19. I'm based out of Dallas, Texas. And this is Financial Audit.

[B]

We have not had someone, like, under 2025 in a very long time. Oh, interesting, because we used to have a lot of people in your age range, but we, you know, to diversify, we were accepting more people from the audience who were, like, in their 30s and they're, like, late 20s and stuff like that, so. Interesting. Okay, just. Just. Just back to. Back to the classic. But it's cool. So what do you do for a living? Or is this school, or what's going on up in Dallas with you?

[A]

So I kind of work two jobs at the moment, and I just added a third. And I'm going to school right now. It's an online school, like, based out of Georgia. So what's it called? It's Ashworth.

[B]

Oh, okay. I thought it was gonna be us, because I know there's, like, this school somewhere on the east coast that a lot of people do online.

[A]

I think it's like, Penn or something. State or something.

[B]

Well, I don't think. What are you studying there?

[A]

Psychology.

[B]

Psychology. Is this your second year, then?

[A]

I'm in my fifth year. Well, not fifth year, fifth semester. My bad.

[B]

Fifth semester. So you're starting your third year, though?

[A]

Yes.

[B]

Very cool. Did you graduate high school early?

[A]

So, yeah, I'm not really, but, yeah. I don't know how to, like, explain that. Kind of, like, got kicked out of, like, the traditional high school, so I had.

[B]

Why would you get kicked out?

[A]

Because when I first moved to Texas, I. I was at work more than I was at school, so then, like, truancy, and then I didn't respond what truancy was saying, and then they just kicked me out.

[B]

Oh, I thought you were gonna say this because you're a little delinka. I was a delinquent in public school, so I would have been totally okay with it because it doesn't mean you're not gonna go anywhere, and it doesn't mean you're not gonna grow as a person. So. But that's totally. That. That makes sense. So did you end up going and getting your GED or something, so you go.

[A]

I once. I got kicked out of that. Well, at the time, I was working at Taco Bell, and I was working, like, 160 hours a week. And when I say that, people do not, like, leave me or whatever, but it doesn't matter. So I was doing that, and then they kicked me out of school because I wasn't showing up. I Was just at work all the.

[B]

Time giving people liquid. Liquid poos. Yeah.

[A]

And then I don't know because I was making like two, three thousand dollars a check. So I was like, I'd rather be at work than that. So I was doing that.

[B]

Yes.

[A]

And then they kicked me out. So I enrolled into an online school called BJU and I had to pay, I think it was like just under 3,000 to go into that. And then after I started that, I found out it wasn't like an accredited high school. So I was talking to my friends and they went to James Madison, their online high school, and that was accredited. So I had.

[B]

Sounds much more reliable than bj.

[A]

Bj, yeah. So I had to. I had to pay another like $2,000 to enroll in that and finish that. Wow.

[B]

But you ended up getting an equivalent or.

[A]

Well, it was a high school diploma.

[B]

Very good. Okay. And then you ended up going into college. Very cool. So you're working three jobs right now. Are you full time student? Like 12. Like what's full time? Eight credits more, I think. But like 12 is like usually.

[A]

Well, I have five classes per semester.

[B]

Wow. Okay. So how many hours a week are you working?

[A]

It like varies. Like low end, 25 per each job. High end, like for each job. Per each job.

[B]

25 per job?

[A]

Yeah, because I go in the morning.

[B]

For like one plus full time student. Well, yeah, dude, you're going wild.

[A]

I don't know because I. From morning time it's like between 6 and 8. I go to the first one until 2 and then.

[B]

Why are you working so much? Not to get out of it. But yeah, that's usually. Yeah, that's a play. 19 super quick. I just want to let you know that I am giving four people $250. All you have to do is fill out the survey at the top of the description below. In that survey, we're just trying to figure out who the audience is, what kind of debts are there, what's the salary, what's saving, stuff like that. And by filling out the survey, you'll also be kept up to date with things going on with the channel as well. I promise. I hate spam. We're not going to spam you guys. You have until the end of next Friday. A week from today, four lucky people will win 250 bucks. And we'll send that directly to you. This is. You've done quite the damage so far.

[A]

This is better than it was last year though. So.

[B]

So 18 what you give yourself score?

[A]

0 to 10 compared to last year. Maybe a 3, but maybe like, overall, like a 1.

[B]

It's where you are in this exact moment. So where you are not where you've been for your score. So one out of ten. Okay. And I could see that being a score that probably lines up about Right. So we have a current balance on some debt. I don't know what this is, but $996 of which you took out 2, 500. What is this for?

[A]

That was a personal loan.

[B]

Are you taking out personal loans in your teens?

[A]

Because. Well, when I. They gave me my auto loan, my very first auto loan. I was like, dang, they just be giving money to anybody.

[B]

They do just be giving money to anybody.

[A]

So I went, got more. And for what? Just a half. Like, I didn't even really spend it until.

[B]

But it's not just a half, though. It's. It's had 13.59%. That's not just a have. That's you giving them the monies.

[A]

Yeah.

[B]

I don't think I need to tell you that, though. I'm getting the perception that you've awoken to that.

[A]

Yeah, very much so.

[B]

So just to have. In case. In case of just whatever.

[A]

Well, maybe just to have isn't the right word, but that's like. Okay, so when I went to Illinois last year, I don't know, it's just to have. Like. Just to have. I don't know how to.

[B]

Okay.

[A]

Yeah. So you went to Illinois? Yes, I went to Illinois. I was supposed to be there for a week, and then, like, stuff happened to where I was there the whole year.

[B]

And what happened? Stuff happened. A year, a week. From a week to 52 weeks. That's a change. That's the difference what happened.

[A]

So first I let someone use my car, and they wrecked it. So then I had to wait for that to get fixed. And since it was like, not like the beginning, but, like, towards the end of COVID it was, like, still taking forever to get stuff fixed. Yeah.

[B]

And you're in Illinois.

[A]

Once it got fixed, I was. Already had a job, and I decided I didn't want to because I didn't want to have two tax forms from two different states, if that makes sense for like, a W2 from Illinois and a W2 from Texas. So I just said, I'll just do the whole year in Illinois.

[B]

It wouldn't have been.

[A]

No, because when I did.

[B]

Also, there's no income tax in Texas anyway, so.

[A]

But in Illinois. Because when I was originally working in.

[B]

Texas, you lived in Illinois, so it would. You would have gotten the income tax.

[A]

But if I would come back to Texas like I did the two years prior, that had taken all that money away.

[B]

Oh, that doesn't make sense.

[A]

Well, when I was working in Texas and I was working at Taco Bell and in the four months I made the 15,000 mm, I went to Illinois for the other half of the year and I was working there for the rest of the year. And when I did my taxes, I just had my Texas taxes and they said I was gonna get $2,000 back. And then when I put my Illinois taxes as well dropped down to like 500.

[B]

But you still had to pay the Illinois taxes regardless. You lived there.

[A]

Yeah. I don't understand.

[B]

So you lied?

[A]

No, I didn't lie. I was living in both states at the time.

[B]

The income that you earned there. Yes, you would have had to pay their taxes. Now what's interesting is your tax bracket wouldn't be crazy and they have a pro progressive tax system. So you make a lot of money then and the taxes get hep. No in Illinois, your Texas. We don't have income tax in Texas.

[A]

No, no, I realize that, but when I my from my understanding in Illinois.

[B]

In your tax bracket, I doubt you would have gotten hit with something aggressive.

[A]

No, that I don't know because I took my taxes to some lady to do them and once we were putting it in and stuff, after she put the Illinois in, it went down.

[B]

Income tax brackets. Ill the noise. You put an S at the end of it as a joke. I promise everyone from Illinois. I don't think it's actually pronounced Illinois. I used to go to your Chicago all the time. Oh, it's a flat. They have a flat tax. Oh, I would have just assumed they were a. So you're right. No flat tax. I mean that's certainly on a lower tax rate. Seems like it feels like it gets hit more because a flat tax on a lower rate, I don't know what anything higher percentage of. Well, not a higher percentage of your money, but it feels like more money because you have less money, meaning that money that you're going to go spend and other places is gone. So if you have a dollar or $1 billion that's subject to Illinois income tax, you owe 4.95% of that money. That sucks. That sucks. I get it. But either way, I'm still a little confused with saying anyway, because you live there, if you move back to Texas, I mean the money that you earn there. Yes. You would have had to pay that on regardless of where you are. It's the money that you earn there.

[A]

Yes. I don't know. I don't understand taxes. I had some like tax lady do it for me.

[B]

I have a rental property in Illinois of which yes, I am an evil landlord for buying a piece of property that no one ever wanted to buy. And then I fixed it up because it was absolutely dilapidated and you know, my taxes, I guess I get that flat tax and someone else takes care of it at this point. So I wasn't aware but I knew there was at least state income tax there. Okay, whatever. So you took this personal loan out, you stayed there for longer. I still don't know why you took this out. And you just said just to have.

[A]

I don't. That's like I said, I don't know if just to have is the right thing. Cuz back to my car, they crashed, it got fixed and then I went to Alabama to help family and I come back and I was supposed to come back to Texas after that and my check engine light came on so I took it to the place and they're talking about coolant is being sucked into the oil. I didn't know what that meant. And they were talking about it's going to be upwards of ten grand to fix and I was not having it. So I sold them the car for 3,000 and then I turned around and I bought another car. And my dad was talking about get, like get a less expensive car or whatever, especially in your teens. Yeah, but I was safe, I was not having that. Of course I wanted a brand new car like fresh that year. So he was against it. But he still said if you're.

[B]

Sounds like a man with logic.

[A]

He is very much. But he was like if you're going to be stupid, you better be strong. So he got me, he co signed this car for me. But he said that listen, listen, listen.

[B]

I'm listening. I'm just not having it.

[A]

He said that if I missed a payment or if something was to happen to the car then he was going to take it. And I was like okay, that makes sense. So I get this car, it was $33,000 and. But it only had like a 4.6 interest rate. I don't know what interest rate means. I mean like oh, so that's still.

[B]

Way more car than you need at your age. Trying to go to college, having to work three jobs, 25 hours minimum at each job.

[A]

Yes, but he was, he was not very happy. But he said he was still gonna let me do my thing, you know.

[B]

Well, I mean, if I were the pop, I just wouldn't have co signed, because I would have been like, this is a stupid decision. I'm not gonna enable it. I appreciate at least him trying to educate you on it by being like, yo, you're dumb, and, yo, you're dumb. Yeah, but it. It already happened. It already happened. Have you realized. Have you realized how incredibly stupid this is?

[A]

I did. So that's when I kind of, like. I was kind of upset that I had that car, so I kind of, like, quit my job, and it was kind of like, doing whatever. And that's when I took this one out, this personal loan and.

[B]

Wait. Yeah, I'm sorry, explain. Explain a little more again.

[A]

So I bought this car, and yes, I was happy with it the first day. Like, as most people are, you get a new car or whatever. And then as it went on, it, like, kind of set in that, like, dang, I really have to pay this money back. And I was, like, not happy with the car because it's gonna sound stupid, but I did not like the sound system it had. So I was kind of.

[B]

That's the only thing I look for in a car. Yeah, but go ahead.

[A]

And so I was kind of over it. Like, the fact I had to pay that much money for a car that I didn't think was worth that much, in my opinion. Now after the fact, I got it. And so I quit my job, and I was kind of just living life. And then the money I had saved from working kind of, like, was depleted, so I kind of took this out.

[B]

So this was an addition. I thought this was for the car.

[A]

Why had two separate ones? Two separate personal.

[B]

Oh, you're okay. So this is what you took out.

[A]

Okay, so I took out the 2500, and it's down to 9. 86.

[B]

The one that's at $19,502 at a death, 14.84. That's a new car.

[A]

That's a different car than the.

[B]

What? The what do you have? What? The why?

[A]

So we moved back to Texas and.

[B]

Wait, wait, wait. When did you buy this? When did you buy this? When did you buy this original loan? May 18, 2023. You came in, you said, you've been watching me for a year. You would not do this. Watching me for a year.

[A]

I know, I understand that, but I needed a car to get back and forth to work because my original, the Volkswagen, I had the third.

[B]

That's the one that broke in Illinois.

[A]

No, the original one was the Lexus CT200 was the one that broke down in Illinois. And then I turned around and bought the Volkswagen, the 2022 Volkswagen. And then I come back to Texas and I started working again. And then I'm not gonna say who's at fault here, but the car was totaled, so who was at fault? It wasn't me. I know that. But to each town, I guess there was both parties ran a red light.

[B]

Okay, well, if you're a part of the running back the red light, then okay, yes, they are at fault, but so are you. It sounds like equal fault. Yeah, whatever term there might be around that.

[A]

So the car was totaled and I need a car to get back and forth to work.

[B]

Did the insurance pay out?

[A]

Yeah, I had gap insurance, so that was all covered. But by the time I took this one out, I still had the other loan on my credit report. So that's why when I saw 14 death.84, that's what the lady I was talking to was telling me. It's that high?

[B]

Well, plus the interest rates are crazy. Yes, but why? What you realized. You realized you made a mistake getting the expensive car?

[A]

Yes.

[B]

What?

[A]

But I didn't want to drive like a hooptie, so I wanted to get.

[B]

The car below 20,000. It doesn't automatically become a hooptie. You spend your time, you get cars taken to a mechanic. You give the seal of approval. In Texas. In Texas, this is what I would need for you to get through college. Get you good paying job, get yourself a fully funded emergency fund, get you on a budget, get you set up, starting retirement. And then you go get this. What you do before that is your car. It needs to be proven that this will last for a few years and you will be safe in that as long as you are taking care of your car. And that it has halfway decent air conditioning. Because I am not going to have you die of heat stroke in Texas. Yes, that. That's the criteria. Safety for years to come. And air conditioning.

[A]

Yes.

[B]

You do not need to do $19,920 at 14.84% interest rate. Why are you laughing at that?

[A]

Because in my mind I'm thinking it's not as bad as the original loan I got and that I don't care.

[B]

Listen, there are people out there doing absolutely disastrous stuff. Just because you're slightly better. No. Just because you are better than them does not mean this equals good.

[A]

Yes.

[B]

So no, we're not going to use that as a justification or feeling better. We're not going to. I'm sorry. And listen, listen. Just As I listen to Graham on my audit, who is, you know, put me in check as I was starting to do well. Okay. Well, I mean, I've been doing well for years to come, but as I said, you know, my income situation has changed. I listened to him because he's been in that position for a while, and I'm not doing a franchise. I got a little excited about it. You, you're getting out of the high school area, you're making money, you're working jobs. Listen to me, as someone who was there a decade ago and stuff like that, this is not what you need. I'm riding my 2019 Jeep Cherokee into the ground probably for years and years and years to come. You can do that on a $10,000 car, my dude. $10,000 car. You don't need this.

[A]

Yeah, I just wanted to call, like, my first car. That was my favorite car.

[B]

Yeah, I'd rather you not have debt. How about that? I think that's more important.

[A]

Yeah.

[B]

Especially. You're just getting started is the thing. You're just getting started. You're not in a position where there's. This. Is anywhere justifiable. I'm not going to be able to justify 18 point or 14.84 interest rate on. Really? Yeah, any debt. But if you're gonna have debt, you're not in the point where we can potentially come close to justifying it.

[A]

Okay. Understand.

[B]

What's this car worth right now?

[A]

Yeah. Last time I looked, if I sold it private, like from person to person, it's going to be like maybe 15. 10. 15.

[B]

10 or 15. That's big.

[A]

10 or 15,000.

[B]

10 or 15. 10 or 15?

[A]

Yes.

[B]

Which one? 10 or 15.

[A]

That's what it said on the gauge thing.

[B]

Okay.

[A]

Kelly Blue book.

[B]

Yeah, yeah, Kelly blue book. Throughout the pandemic, they were a little undervaluing where cars were being sold. They might be closer to where things are now. I would just. I check multiple sources.

[A]

Okay.

[B]

Oh, my gosh. Okay, so a Visa. You.

[A]

I got this when I first turned 18. The day I turned 18, they gave me this.

[B]

Well, actually, sorry, before I go into that. Okay, so, yes, we have 19,502.54 owed on that previous one. What's the minimum monthly payment on the 996?

[A]

I think 83.

[B]

And what's the minimum monthly payment on the 69 payments remaining?

[A]

Yeah, death.

[B]

What's the. Oh, you. You took it out this year and you've already spent almost $1,000 interest on it. You do not need this at 19. Let us correct you now so that you can have an amazing future. Please. Yes. Yes, agreed. Will you listen to what I'm saying?

[A]

I want to say yes, but I will follow as best as I can.

[B]

What is as best as you can? What is that? That sounds like we're preemptively justifying not doing things no more.

[A]

So I came here to, like, get insight because I seen you help other people. So, like, I'm always going to take what you say, but. But maybe not like this pace and.

[B]

Speed, you know, I get excited talking about finances. I get exciting having the conversations that I wish someone had with me when I was at that age. And I'm approaching it just that way. So I get excited about this, but, man, I get more excited and get a fire under my. You come back or you send us an email and that you're out of this.

[A]

Yes.

[B]

So I don't give a. You're just here to potentially listen but then set yourself off for.

[A]

Potentially.

[B]

Exactly. But you gave yourself that gap for excuses in the future. If you're doing that, then I'm not excited. I don't find this a conversation worth having because there's other people who want to come on, want to get their kicked and get that in gear, get themselves out of debt and then we can celebrate and go crazy and get excited. I'm only willing to have this conversation if that's something you're willing to do.

[A]

Yes.

[B]

What's the minimum monthly payment on the 69 months?

[A]

I think it's only like 450, but I pay 500.

[B]

Yeah, it's only 450 because it's 69 months. Okay, so a credit card that you opened, you said rated 18.

[A]

Yeah, the day I turned 18.

[B]

Well, that was a year ago, but yes. Yeah. So sound like that was like some ancient history credit card. It's a Visa USA Visa. Current balance. I. You've even watched it for you. There's no reason that that balance should have only gone from 4321 working 24 hours a week at three different locations only down to 4100.

[A]

Each job. I get anywhere from 24 to 43 hours a week from both places and then the third.

[B]

Individually or together?

[A]

Individually.

[B]

There you go. So there's no reason this should only be down like 150 bucks because then guess what? What did we do? Cash advances. Cash advances. I haven't. I don't think I've seen that on this show. Cash advance is like the worst thing you could possibly do from a credit card. And you get monies. You get the monies.

[A]

I didn't understand what that was though, until. Because I was.

[B]

Until when? Until you just did this right now?

[A]

No, until after I got it.

[B]

Why'd you get it though? Why'd you do it?

[A]

Because I honestly couldn't tell you. I don't.

[B]

No, no, no, no, no, no, no, no, no. Tell me.

[A]

No, I'm telling you, like, why'd you do it?

[B]

Why were you like, I'm gonna get $150 cash fans?

[A]

I was like, oh, what does get money mean? And I typed in the amount and then it was like there. So I was like, so it's not on the credit card anymore or what's happening? So when I looked on there and this month. Well, we're in September, in the last month of August at the end when it charged me interest on that, I was like, wait a minute, what is this? And when I called the bank, they were like, it's from the cash advance. And I was like, oh, okay. I didn't know they did that.

[B]

Don't take out cash advances. But if you're going to do something in advance, hit that subscribe button in advance because we're trying to get 750,000 subscribers. Thank you to everyone who has subscribed. Thank you to you for subscribing and thank you to you for being on the show because I know it's definitely on the hot seat coming in from the audience and I really do appreciate it. You're helping many people who are probably relating to you. Hopefully people that are watching this, who are exiting high school by the way, and might have the chance to sign up for usaa, Visa, might have a chance to go get a thirty thousand dollar car. This is their lesson and you were doing that. So thank you. You go. Yeah. Okay, so $4,181 zone on. We did a cash advance of death. $150 and $72.95 of purchases. What's the point of that? What are we possibly doing? Yes, you put some money towards it, but it's the possible point if we're just doing all that stupid stuff. Sure. I mean you put your Walmart on there, you put your 711 on there, you put your Walmart, you as a. Oh yeah, there's your cash advance and then more Walmart. Who knows what those are? Maybe they're gas, maybe the groceries, whatever. But why are we doing them on a credit card that is agreeing interest that we are not able to fully pay off? We do that from A checking account for this month.

[A]

My debit card was stolen, so I had to wait for them to send.

[B]

Me a new debit card was stolen. Okay.

[A]

So I kind of just use this to like, I guess.

[B]

Okay. So you immediately requested access to that often. What? I don't know. Usa so it was a. Is your debit card with usaa?

[A]

Yeah. So when my. I didn't know my card was stolen until they like called me and was like, did you make these purchases? And I was like, no, I don't even have money on that card.

[B]

So I'm glad they reached out. You should always be trying track what has been coming out of account on a monthly basis as you're doing your budgeting. That's often where you can catch something like that because it is very prevalent in our society that things can happen like that. So I do, I do understand that. I still don't like the cash advance. I do understand that oftentimes what a lot of banks can do is they can give you more like a digital card that you can use to do things.

[A]

You just have to type like in the. To your Apple Wallet or whatever.

[B]

Not only that, but like you can open up the app and you can see your digital card and you just type in the numbers to purchase things instead of having to put it on a credit card. Again, you're 19. You probably didn't know that. You didn't know what a cash advance was. So I'm not going to knock you on that too much. But just for anyone out there if their bank has that option. So total fees $23.49 a year so far and $404 of interest. $404 of interest? We can't accept that. Across the multiple accounts, we're like close to 2000 hours of interest just for one month. No. This year so far in Seoul and from you across the different accounts that we've seen.

[A]

Okay, which one is this? Oh, okay.

[B]

Okay. So usa oh, another savings. Yeah. For some reason I just put all your savings above your check in. Okay, well, sure. So this savings, really nothing different. A little money goes in, then the money goes out and it stays pretty similar. So you just put money in and money out. What's the point of this? This obviously isn't actually savings. Usaa.

[A]

Yeah. Does it not have like the name for each.

[B]

Stuff out just to protect your safety?

[A]

Okay, okay. Well, I know one of these savings accounts is like what my PNC High Yield Savings takes out of. So why put money into that? And it gets taken out of that.

[B]

Why put it in there? Why don't I just put it in the pnc?

[A]

Because I get direct deposit to usaa, so then I have it.

[B]

What yield are you getting on the PNC?

[A]

4.5. 5.

[B]

Okay. I don't know. Good. That's good. Yeah. I get 4.5 with so far. So as long I just want to make sure you're at least getting that we have another savings. And again, this is these ones I.

[A]

Like to try and keep to have. So they all both have the same balance. Like I want all three of them.

[B]

There's like. Like 100 bucks in each. It really doesn't matter. 200 bucks or something. Money just goes in, money goes out. I don't really understand the purpose of either of these.

[A]

Yeah.

[B]

USA savings. It's just.

[A]

Neither do I.

[B]

This is bad money management skills, it looks like.

[A]

Yeah.

[B]

Which is okay.

[A]

I mean, it's because, like, I got.

[B]

So a lot of things that you just get used to. It just. It just continues to flow. And I mean, I. I know for me there's like things I need to just. This is random little charges that are on things that aren't getting rewards and stuff that just take like a weekend to button up. Take a weekend, button this up. It just makes no sense that hundreds of dollars going in, the hundreds of dollars going on. That's not what savings in is. It just doesn't make sense. Have it all going direct deposit from your checking account to your PNC1 if you're going to have savings. And that's not acting a savings.

[A]

That's what that is right there, I think.

[B]

Okay, so balance 972.

[A]

That's a 16. 16 right now.

[B]

Oh, very nice.

[A]

And that's what all three of them are.

[B]

So what's the purpose of this?

[A]

Because I know myself with money. So the whole reason I opened up this one was so it'd be like in a separate bank and it would take time to get. If that makes sense.

[B]

So you have impulsive type stuff.

[A]

Yes, but it's getting better.

[B]

At least your impulsive stuff isn't on like real estate like me. It's on smaller things, but. Okay. So impulsive.

[A]

Yeah, like a lot. Back when I was back in Illinois last year, I kind of. I really got into buying jewelry like from when I was. Yes. So I started buying like last year I spent like 15,000 on jewelry just alone.

[B]

No. Yeah, Absolutely not. Not while you have those other debts. My dude, we pay those off.

[A]

Yeah. Go off.

[B]

What kind of jewelry were you even Getting.

[A]

I was going like because since I'm in debt now, I kind of feel like there's no point in wearing it. So they kind of just sit.

[B]

You should have wrapped it here though. I assume you still own them.

[A]

I still do own them. They kind of just sit there in the safe though. I don't really like to take them.

[B]

Okay, well, good news. I mean a lot of that probably held value.

[A]

I get. I don't know. I don't know how none of that works. That's what my dad was telling me. He's like, this is a good investment and this and this but well, good investment.

[B]

I'm not 100 sure. I'm sure. It depends on the actual pieces. 500.

[A]

No. I'm curious.

[B]

And is it going to beat the 14.84 on the personal loan? No. Is it going to be like the 25 to 30 on the credit card? No. So no, we aren't. We're. No, we're not doing jewelry.

[A]

Right.

[B]

Or not. It's a 23.15 on the credit card. Is the interest rate you're paying. The minimum monthly payment, by the way of which I did not put on there. Interest payment accrued on a monthly basis. $81.26. That's disgusting. That's absolutely death.

[A]

I think the minimum payment for this is only like 183 or something or 187. It doesn't show on there, I don't think.

[B]

No, it doesn't. Okay, we'll put 183.

[A]

Just do 190.

[B]

Okay. 190. Be a little conservative. Okay. No. So flat out this is what I would do today. Check out the different private sale markets either through apps or different programs to.

[A]

Try and sell the jewelry.

[B]

Maybe pawn shops. I am not familiar with it and neither am I.

[A]

That's why I've been sold.

[B]

A look online. The best way to sell jewelry that is cuz I don't have an interest in that stuff. I've never bought a watch that isn't an Apple watch and I don't even. I'm not even wearing right now. Usually I do, but. So I don't know because this is not a part of my interest or cares. I don't give a single that and I only give what I would do in my own. You know, based on my own situation and knowledge. I would try to find the best way to get best bang of the buck for selling jewelry. You might be negative in the end but that's okay because what you can do is you can pay off the credit card. You pay off your first personal loan. You can pay off half if it. If the values are kept, and then you can pay off half of that car loan.

[A]

Mm.

[B]

So that'd be incredible. That's life changing.

[A]

Yeah.

[B]

And it's not worth it. We can. We can get you to a point, man. When you're in your, like, mid-20s and you're buying some jewelry and your fun money and it might hold value, might gain value. We can do that. We're not doing that now.

[A]

Yeah. I kind of did pause buying jewelry, though. That was all, like.

[B]

You did? But are you gonna sell it?

[A]

Yes. Not all of it, though.

[B]

You should.

[A]

Why? One of them I'm gonna keep. Like, it was a necklace that I went half and half on with my dad, so I don't.

[B]

How much. How much is. How much is that worth?

[A]

That was only 2,000. Then that was on sale. Yeah.

[B]

$2,000 is a lot of money, dude. It's a lot of money. I would freak out seeing $2,000 leaving my account. Okay.

[A]

Either way, I think my whole thing is, like, when I was younger, like, I want to say between, like, 15 and 16, maybe 17, like, I always had money coming in, like, do a sugar daddy. I don't know if that's, like, really.

[B]

Wait, wait. I'm sorry. I'm sorry. How old are you?

[A]

Through, like, well, how old are you? 16 to 17.

[B]

16 to 17.

[A]

There was no, like, sexual stuff or none of that. It was just more like, oh, that's okay. Then kind of like talking or whatever. And.

[B]

Well, not.

[A]

He would say, that's okay, but legally. Legally, yeah. Yeah, that.

[B]

That should be okay.

[A]

And I would get, like, $5,000 a month from him. So in my mind, when I was spending this money, I was always thinking.

[B]

Like, so you guys went and, like, got dinner when you're six?

[A]

Not like dinner, more like go to movies or, like, go back and forth and. Yeah.

[B]

People always ask me, what high yield savings account do I use for my own money? Some of you know by now it's Sofi. I love them. It's great for my checking account needs. It's great for my high Yield savings account needs. And right Now I'm getting 4.5% interest on my monies. I love that rate on my money. So if you want to get a great rate like that on your monies, just check out the link in the description below. I have a paid affiliate link there. You can get bonuses all the way up to $250. And I took Advantage of that. And you should too.

[A]

And then that kind of died out because I was kind of like a full time job within itself and I was kind of like it was kind of gross.

[B]

So there wasn't anything sexual?

[A]

No.

[B]

Okay, good, perfect. Then there, there shouldn't be like, yeah, okay, but you know, whatever you, whatever you want in terms of that. But legally I think you should be okay. And same with this person. How old Was this person?

[A]

68. I don't know if that's like, why'd you do this? Do the sugar daddy thing?

[B]

Well, it's interesting because we haven't had this on the show before. Why'd you.

[A]

I don't know. I don't even know how I got into that whole thing. Like it kind of just happened. Like, I don't know, one day I was there and I kind of just rolled with it, you know.

[B]

Okay, so yeah, this is very interesting. This is not a topic that we've had on the show. I've never done sugar daddy or sugar baby or whatever. That's. I don't know. That's curious. If you're 16 out there, please don't do it.

[A]

Yeah, I do not recommend it at all. It's like a full time job and a lot of these people are creepy, so.

[B]

A lot of people are creepy. You're also just very young at that time, very impressionable. Like I obviously wouldn't have advised that you've done that. You already did it. And we don't judge based off of past because dude, what, I mean, what I was doing when I was 10, I was doing when I was 16. Who knows? I was a class probably annoying people. I was new Dick. We've all made endless amount of mistakes. We're not going to judge based off of what you did in your past. You've probably grown a lot in those three years and you'll continue to grow. You're going to learn. But we're not judging from the past. It makes no sense to do that because you're only you right now. You're not doing the things you did. So. But don't do it if you are that age. Just I don't want anyone to get into a dangerous situation specifically. So that's interesting. Why you stop.

[A]

Like you said, dangerous situation.

[B]

Okay, when did you stop? 18.

[A]

No, like when I moved to Texas. So not when I moved to Texas. Like I was driving back and forth between Texas and Illinois a lot. So in between that time frame. So maybe like maybe 17. Beginning of. End of 17. Beginning of 18.

[B]

Okay. And you did it just for monies? Just for attention?

[A]

Yeah, but I was still working at other jobs, so.

[B]

Okay. Well, on a different topic, I'm afraid of being 68 or whatever and single. That's scary.

[A]

I don't know, I kind of be like, okay with just dying, like by myself.

[B]

Really?

[A]

Yeah, I really don't like. I don't know, just like being with someone like that forever and ever. I'd rather be by myself, thank you very much.

[B]

Oh, well, like that. I mean, I don't know who this person was, so.

[A]

Oh, yeah, that I don't care.

[B]

But I just mean like, you could be with someone who's great though, for a long time.

[A]

Yeah, but I'd rather be by myself.

[B]

Oh, yeah, okay. Sure you do. You.

[A]

So.

[B]

Oh, this is a Fidelity credit card. Yes, but it's pretty much nothing. You made purchases, you paid it off.

[A]

That I just have to pay my school balance. So I pay that one off almost every month.

[B]

So you put your what you owe for school on this credit card and then you pay it off?

[A]

Yes, but I don't know if I'll be able to continue to pay it off because.

[B]

So Bram Score Store. That's like a school thing and okay music. And that was $7 when I first opened it. Okay. So now we're just.

[A]

Now since my payments are no longer deferred because I had it deferred for four months because there was a problem with the re enrollment. So I asked them to stop the payments until they figure that out. And then it's gonna. Oh, today's the 19th, so it's gonna start again today. So today is when how much will hit it Today. It was originally 159, but that's going up to like, I think 351 because it's like an additional 59 per semester. So when I first saw 351 a.

[B]

Semester or a month to cover the semester.

[A]

So each semester is only. I think it's 1900 per semester.

[B]

Wow. You guys should consider the school if they have a good reputation. Wow.

[A]

They do. They have. As far as I know, they're like accredited and they're like based out of Georgia and they have every June they hold like their graduation.

[B]

It's interesting learning about the different alternatives because I talk about course crews on here all the time. Is great for different tech certifications and they, you know, they are great. But I mean, I have nothing against college either. I just don't like the price of college versus the return on investment for A lot of the degrees but sounds.

[A]

Like I know at the end of this degree it's going to be like I think 15,000 to like cover the whole four year degree.

[B]

Wow. I'm not, I mean I'm not going to endorse them without knowing anything necessarily about them but it sounds like interesting. I want to, I want to at least look into them because that. But you know, I want to be responsible with my endorsements. Well that definitely sounds interesting. So we're spending on here and then 300. Something happens every month.

[A]

Yeah.

[B]

Okay. USA checking, ending balance. 10 bucks.

[A]

Yeah.

[B]

I kind of starting zero.

[A]

Yeah. So I get direct deposit into that account every month and then I just break it up from there.

[B]

Loan payments. Loan payments. Ach. Withdraw some things. ATM. ATM which are 150. 200 ATM which are. What's all the ATM draw?

[A]

200 from 80. I could not tell you.

[B]

You're taking it.

[A]

Yeah.

[B]

You're buying those. Those plants. Those plants that go up in smoke. So someone was doing the other day with all their ATM withdrawals zelling out 270.

[A]

That's for car insurance. My mom. I'm on my mom's car insurance so I pay her month 45.

[B]

How much?

[A]

200. It was originally 160 but since I got a ticket and I crashed it went up to two tisk my dude.

[B]

150. 150@ 7:11. When did you get a 7:11 for $150?

[A]

I bought a pack of scratch offs.

[B]

Why buddy? Yeah buddy, buddy, buddy. Why?

[A]

Cuz I'm bored.

[B]

No, if we're bored. Huh?

[A]

I said I was bored so I bought like a pack of scratch offs.

[B]

That's an expensive boredom.

[A]

Yeah, I say that used to be bad though.

[B]

Like when I'm bored I go hang out with my friends and we don't have to spend money to hang out. Play like trivia or something.

[A]

Yeah, yeah. But I'd rather spend time by myself so.

[B]

Okay. You're very introverted. I'm very introverted as well. Just. Except for just my friends. Like you know it's my friends but I don't see other people. But yeah, I feel like there's definitely other alternatives. Alternatives Maybe. Do you play video games? What are your hobbies?

[A]

So right now since I am saving for a PlayStation like from when I break down my thing for my once, I'm putting aside $40 and I should be able to get a PlayStation at the end of the year. Do you have video games at my dad's house?

[B]

Do you Live with your dad?

[A]

No, he lives in Illinois. I kind of live between back and forth between Illinois and Texas.

[B]

Okay, well, I just take advantage of something you already have instead of spending $150 that you'll never get back on. Scratch off, probably. Statistically. Popeyes. 14, 15. I don't like that. Because I don't want you to head down that path.

[A]

Like, okay, I already been down that path and starting. Starting to make a U turn.

[B]

You know, if you've been spending a lot on gambling.

[A]

Last year. Last year was bad.

[B]

How much?

[A]

Last year was like my worst in spending, like how much? 15, 000 in jewelry. I don't want to tell you.

[B]

Tell me. Absolutely, tell me.

[A]

I spent like 11 grand on slots and scratch offs. And in Illinois they say it's supposed to be 21 to gamble, but a lot of places you just walk right in and they don't even ask you. Yeah, but now we don't do that no more. Besides that, that was just like a one.

[B]

Well, that. See, that's the thing. That's the thing. That's not how that works. Yeah, you just went and spent 150.

[A]

Bucks just that one time, though.

[B]

That's what everyone says within. You know gambling is like an actual addiction, right?

[A]

Yeah. Because my friends used to joke with me, they'd be like, you need to call that number on the back of the thing. And then like when I moved back to Texas is. I kind of just like dropped it. And then this month, well, last month, technically, I kind of did go off and buy more.

[B]

I'm not angry at that. That's not something to be angry about. I'm upset that you went back to it. I'm. I am upset that so much money went out. Yeah, I know, but that's all a stars, man. You spent $11,000 last year at 18. At 18. On gambling. Doing it now. I mean, it's just like. I don't want you to think better.

[A]

Now than later, you know, it scares me.

[B]

No, I think it's. I think it's. I think don't do it now and don't do it later is what I think. And I think also, if there are addictive tendencies and you recognize it, make sure you're doing like.

[A]

Well, I do. Like, I'm not about to. I don't.

[B]

Why? What. What's wrong with that?

[A]

I don't know. I kind of like to keep my things to myself in terms of that because.

[B]

Does that always work, though? I would say potentially not because you just went.

[A]

I'd say nine times out of ten.

[B]

Because you just spent $150 out there. I'd say maybe not.

[A]

Yes.

[B]

If you go back and you end up doing that, please recognize you have a problem.

[A]

Yes.

[B]

And then please seek help, mental health wise.

[A]

Yes.

[B]

I don't feel like you're taking that seriously. No.

[A]

Because, like, I know me personally, I won't go back and do it in this time.

[B]

Yeah. But outside the reason why I think a lot of this conversation helps, and it's the conversation again. I wish I had. When I was your age and before your age, I knew myself, I thought what I was doing was fine as well. Having an outside perspective and getting some tough love is a very valuable thing for some people. Some people won't help. And that's okay. They don't come on the show. But for someone like you who signed up and have, you know, been watching the show for a year, take the help.

[A]

Yes.

[B]

It's in front of you. Don't just.

[A]

But that I know I won't go back and like, do again, you know, like, I don't know, like, it kind of sunk in. Like, it was like I really wasn't gaining anything from it. Well, it was kind of like a. It's kind of. It was fun for that one time, you know, and back then.

[B]

Oh, am I. Am I getting through it all?

[A]

Yes, I promise you, you are. I'm listening.

[B]

Zealand Zellon. 69 bucks.

[A]

Yeah.

[B]

Some taquitos selling out. 119 bucks. Dude, you sell a lot of money. 10 bucks there and then 40 in the ATM.

[A]

The 119, that was to pay my mother back for the money I borrowed from her.

[B]

Why are you borrowing? Did you work too many for your school being so cheap? You work way too many hours for you to have to borrow money. And then. No, no, one second. And then you went and gambled money within the same month you borrowed and gambled.

[A]

Well, no, I bought for. At the beginning of the year. That's money I'm paying back from the beginning of the year. The 119.

[B]

If you borrow money. And we're gambling. We are not.

[A]

Yeah.

[B]

Get this out of here. Okay, buddy, When I was going through your documents and a lot of stuff, I didn't think. I thought this would be an easier conversation than.

[A]

Yeah.

[B]

First of all, 33% of your percent of your spending not income you're spending goes to transportation. Is that like gas, car payment, all that good stuff. And insurance. Yep. Debt payment's only 6%, so. Guess what? I mean, outside of the car. So other large purchases 32%. Your other large purchases, ATM withdraws in cash, app and outsell.

[A]

And yeah.

[B]

It wasn't crazy. It was actually just 1.2%. I'd still rather that go to the debt when you have really bad debt.

[A]

Yeah, work though.

[B]

And some money went to savings. I think once we get to a certain point, it doesn't make sense for that money to go to savings because again, 24 interest on $4184, 14.84 interest on $19,502, 13.59 interest and $996.

[A]

Yeah.

[B]

At a certain point we got to figure out, okay, do we have a one month emergency fund? Okay, then you know, just extra miscellaneous shopping unknown. 77 bucks. You never know what you're getting at Walmart, so we can't say. But still now we saw that you were like, I'm doing 50, 30, 20, man.

[A]

Yeah, now you're not.

[B]

So why even say it like that's what you said.

[A]

Well, that's what I broke it down for there. So that way I can help keep my myself on track for when I like went to it.

[B]

But. So you just have decided not to face it yet?

[A]

No, not face it. Fix it. Like why haven't you chosen. That's.

[B]

What's the third job watching for a year? Why have you chosen not to fix it? Because this is important to know, like.

[A]

Why I'm here today is like to try and like, like progress further. I guess.

[B]

So what do you think has prevented you though, before this conversation?

[A]

Because this fact that I'm seeing all that money go out and like, I don't get to use none of it.

[B]

So for this last year that you've been watching the channel, you haven't sat down once and looked at where your money was going?

[A]

I have.

[B]

Okay.

[A]

So then again that time I sat down and looked. Why have you not so much.

[B]

Why have you not fixed? I want you to.

[A]

Because I feel like you might not.

[B]

Be able to and that's okay. But I want you to pinpoint a reason because I can lay out a budget man. We can have this conversation. But all that only goes so far. If you're going to fall back onto whatever habit or whatever something is holding you back. Yeah, there was. There's clearly addictive tendencies when it comes to.

[A]

Yes, okay.

[B]

Which again, I would seek help. That's not something I think after the.

[A]

Fact though, like after the fact we're out of debt. Then, then I'll do that.

[B]

No. What?

[A]

Yeah, I Know you like, like big on, like mental health and go like. Yes.

[B]

Especially when you have an addiction. My dude.

[A]

Yes.

[B]

This is for credit card people only. If you're not a credit card person, close your ears. People always ask me, what credit cards do I use personally or what credit cards should they use in specific instances. I've partnered with Card Ratings to create specific lists of good credit cards based on specific situations. So we have the best no annual fee credit cards, the best travel credit cards, the best secured credit cards, and the best credit cards for people who have no existing credit. So to check out those lists that we've specifically curated, head down to the description below. When you have an addiction, I feel like getting out of debt.

[A]

I think it's more so just spending money that I like to do.

[B]

Again, your food is 1.2% of your spending.

[A]

Because that's two days out of the week that I go and like buy food.

[B]

So that wasn't the crazy thing you're trying. You want that to be the crazy thing. Your crazy thing was the addictive things. And then you go and spending $15,000 last year on jewelry. It doesn't make sense. You work too many.

[A]

But I did this. Flip that around though, buddy.

[B]

You're pushing back on everything. You're just.

[A]

No, I understand what you're saying, but me personally, I feel like I have flipped that around.

[B]

I have addictive tendencies personally. I have an addictive personality. So that's why I don't drink. That's why I don't do any drugs, because I know I can fall into bad habits. I have an addictive tendency. I have an addictive tendency with my own eating out habits. Or it's like point whatever percent of my spending that's basically nothing, but it's not good for my health. Personal finance. I've tried to learn as much and everything as I can around this and no one's going to ever be perfect, no matter what. But I know more than you when it comes to personal finance.

[A]

Yes.

[B]

Lean on those who know more than you. Graham Stefan, who audited me, knows more than me on the YouTube side of things and what it's like to be in this environment with lots of toxic people out there, with lots of positive people out there with lots of different income things and whatever, blah, blah, blah. He knows more than me. He's been in the industry for seven years. I lean on him. Lean on me, man. Don't try to just fight on everything. It's okay to accept you might not know everything.

[A]

Well, no, I Understand that I don't know everything, but I'm a dumb mother.

[B]

On the vast majority of issues, and I recognize that that's the mature thing. So I say, okay, lovely people who know more than me, I'm going to lean on them. Yes, you can do that, too. It's okay, buddy. Yes, it's okay.

[A]

No, I understand that. I do.

[B]

Okay, then please stop pushing back on everything. I promise you. I think mental health is important in this. In the addictive tendency situation and the spending situation. You don't have to. I'm not going to force anyone to go to a therapist or anything like that. I'm just saying it might be worth trying a few different ones and seeing if someone works for you. And you. The first therapist might not be the person. Second therapist might not be the person. The third might not be the person. The fourth might be. You never know when you're going to land the right person for you or just a group thing even, too, when it comes to gambling.

[A]

Yes.

[B]

Because you, You. You've gotten started that. Blowing up $11,000 at 18. You got that started way too young. That, That's.

[A]

Well, it originally started, like, younger than that. Like 16. Because I'm telling you, those places in Illinois, you just walk in and.

[B]

Yeah, okay. If we started at 16, then that scares me. For your future. You don't have anything in investments, do you?

[A]

There was nothing in front of me, just like $280.

[B]

Okay. So off. That was $11,000 that could have gone to that. That was $11,000. That could have been paying off debt.

[A]

Yeah.

[B]

So you live by yourself?

[A]

No, I live with my mother.

[B]

Okay, so you don't have rent?

[A]

No.

[B]

Do you give her anything for, like, rent, utilities, Internet? Okay, beautiful. So your debt. Minimum monthly payments. $723, which is way too much.

[A]

Oh, I do also have to add medical. That's like.

[B]

You have a medical debt?

[A]

Yeah. That's gonna be like 120amonth or total. The total is like almost 700. Yeah.

[B]

When was this?

[A]

I want to say the beginning of the year. Maybe, like maybe March.

[B]

What happened?

[A]

But I thought I was having another heart attack, so I had to go to the hospital and they sent me to, like, all these cardio.

[B]

Heart attack?

[A]

Yeah.

[B]

You had a heart attack before?

[A]

Like, way young. That was from really, like, the hospital. Like, they thought I was having a. An allergic reaction, so they gave me epinephrine and I had a heart attack. But I was having an asthma attack. So it's like kind of just a Mix up. But I thought I was having another one of those at work, so I had to go to the hospital and, like, talk to two different cardiologists and go to all these different things.

[B]

Can I make a guess? Was it just a panic attack?

[A]

Yeah. And then they told me, like, I just need to exercise more and, like, figure out better ways of, like, not do panic attacks. They.

[B]

I mean, they can just be on set, but especially when it's your first few times, man. A lot of people think, like, that's a heart attack and stuff like that. You just think.

[A]

I just thought it was because it felt like the first heart attack I had.

[B]

So I just thought, oh, yeah, no, they're. They're. They're the worst thing ever. And I get them daily. Yay. Okay, so it's super fun. $843. That's your debt.

[A]

I feel like I'm missing something that has a school in it.

[B]

Your mom again?

[A]

272.

[B]

272. Lovely. What's for school again?

[A]

That's going to be 351.

[B]

Okay.

[A]

And.

[B]

What other expenses do you. How does the food situation work at home?

[A]

I really don't eat at home. I usually eat at my job since I'm there from, like, they cover it.

[B]

Okay. You don't eat at home ever?

[A]

No. Because, like, the.

[B]

What do you do for food at school and stuff like that?

[A]

Oh, my school's online, so I just sit at home and do it.

[B]

So you don't eat it at home ever?

[A]

Not really, no.

[B]

And when you do, do you eat just the groceries that are there?

[A]

Yeah.

[B]

Okay. That was the question. So do we need to give you a food budget?

[A]

Not really. I don't think so.

[B]

Okay. Toothpaste, all that stuff. Does your mom cover that? Do you?

[A]

No, I get that myself.

[B]

Okay. I'm gonna give you a hundred dollars just for toothpaste. Blah, blah, blah. If that means getting a meal, you know, once, whatever. That's your budget to spend on needing to survive. Okay. Phone. What was your phone?

[A]

That's going up. Since I pay on a credit card with that, it's gonna go up to.

[B]

Why do you pay on a credit card with that?

[A]

Because I don't have the protection plan with AT T. And since I pay on the USA credit card, if my phone gets lost or stolen though, reimbursement.

[B]

You're not a credit card person, buddy. I want you to cut up your credit cards and never use them again. The fact that you're not even willing to consider that Gives me no optimism.

[A]

Well, I did it at one point and then, like, do it again. Months later. I ordered a new one.

[B]

You're not a debt person. You're not utilizing them for your advantage. I 0% finance things all the time and invest the rest because I can finesse and it's fun for me. And that's something that a really financially disciplined person can do. You are not. You have again, 4,000, 19,900.

[A]

Yeah.

[B]

You cannot. Health insurance. What's your health insurance situation? You're with your parents.

[A]

Yeah, I have that with both parents.

[B]

Okay. Because that medical bill.

[A]

Yeah. That dropped it down from 4,000 to 600.

[B]

Okay. Yeah, yeah. Okay. So phone. We had it somewhere. Phone. Total 65. 10.

[A]

That's going up to like 75. Okay.

[B]

Okay.

[A]

And.

[B]

You go to grocery stores, though. You go to Walmart, you go to Aldi, all this stuff.

[A]

That's more so for like drinks, like just packs of soda or something.

[B]

They don't exist anymore.

[A]

Okay.

[B]

They don't exist anymore. Just for. Just for a bit. Just for a bit. And what else do you have to take care of on a monthly basis?

[A]

I think that's it, to be honest.

[B]

Yeah. Are there, like, extra books you have to buy and stuff?

[A]

No, all that stuff is online. Wow.

[B]

Okay. So that's it. There's nothing else? Gas. How much in gas a month?

[A]

That is going up because I started instacarting again. So originally it was like 40. I think I'm just going to have that go to like 80.

[B]

Okay. It's a lot for your age, but the school certainly takes some money. I'm glad that you're cash flowing at them. $1,721 to survive. You know, massive chunk of that being debt.

[A]

And that's with the car?

[B]

Almost half of that being dead, actually. I'm sorry.

[A]

And that's with the car?

[B]

Yep.

[A]

Okay.

[B]

What comes in on average? What comes in on average on a monthly basis for income?

[A]

I'll just say 2000 because it's kind of like up and down.

[B]

Are you okay? Yeah. If that's what's average, that's what's average.

[A]

Look right here. Has all the totals for each month.

[B]

I'd say 2200, actually.

[A]

2200.

[B]

Yeah.

[A]

But I did start instacarting again because I kind of forgot I was able to do that and that.

[B]

Why was April solo?

[A]

Because that's when I first started. And that's when I first started doing this whole little thing or whatever.

[B]

Oh, that's seven. So September. So far. Okay. I'm gonna say 2200 actually, because that is what would be closer to average for you. You just had a randomly low month in July.

[A]

Yes, that's when like.

[B]

But even so that was basically 2000. That's your lowest. So I'm gonna say 2200. So that gives you an extra. We're going to say you have an extra 450 just to give some room for things. 450. Wait, let me make sure I do that right. No, extra 300. Yes, 450. Extra 450 on a monthly basis. Lovely. That's what you have extra. And you have 1,600. Cool. First month, you put a thousand dollars in your savings. You have a one month emergency fund. We're no longer saving any money.

[A]

Okay.

[B]

That's what survives you for a month. Now after that, does the medical debt have interest on it?

[A]

I think they're actually about to send that to collections.

[B]

Why are you paying on it?

[A]

I haven't started.

[B]

No, start paying on that. So. Okay, cool. So let's put 350 towards that the first month and then the next month. Let's just knock it out. Let's call it done in two months. Okay, so we're three months in. We just finished our third month. One month emergency fund. Medical debt is knocked out. 996 will be at probably about like 950 at that time. Interest rates, insane. And now that $120 that goes to medical is lovely. Going to our four hundred and fifty. So four hundred and fifty now becomes five hundred and seventy. Very exciting, very exciting. So of the 950 we have to pay off going into month 470, I mean that takes one and a half months. We'll just call in another two months just to be conservative again, just because you never know what can happen. Emergency can pop up, blah, blah, blah, and you have to fill up your emergency fund again. So we just finished four and five. We're headed into month number six. The 4,000. We're going to say the credit cards. About 4,000. Stop spending money on it. Stop spending money on it. Stop spending money on it. You have about 650 bucks you can put towards it on a monthly basis now that's going to take six months to pay off. So we just finished six months. Right? That's going to take six months. So that's a year. That's a year. Yep, that's a year. One month emergency fund. Medical debt is gone, personal loan is gone and the credit card is gone.

[A]

Okay, cool. So anything I make from Instacart I can just like throw towards the rest of this.

[B]

Yes, of course. Absolutely. Make it go quicker. So where you're in, we have extra 800 left on a monthly basis. That other loan will probably be at like 17,000, something like that. Because it's terrible. It's disgusting.

[A]

Well, once I pay credit card and loan, I was looking to see if I could just refinance it. Don't do that.

[B]

Let's just get you. Let's just get you debt free. I think that's better for your future.

[A]

Okay.

[B]

Because I don't know where interest rates are going to be at that. At that time. It's just. Let's just not bet on interest rates. That's going to take 20 months.

[A]

Okay. That's actually not that bad what I thought it was.

[B]

Yeah. So at that time, I need you to get a fully funded emergency fund. Let's call it three and a half years total. Three and a half to four years total.

[A]

And that's just with what I. The debts.

[B]

And you're almost done with school though, right?

[A]

Yes.

[B]

So what are you going to do? What are you. What are you graduating with?

[A]

A bachelor's in psychology. But I don't know, I kind of wanted to become like a psychologist.

[B]

That's where I'm against college. When people are paying for a degree and they don't know what they want to do.

[A]

But then I'm just going to. Most of the. What I do in psychology is gonna count towards my. What is it called, Prerequisites for nursing. And I'm just gonna go to online school.

[B]

Get your nursing degree. Yeah, that doesn't make sense. Just get your bachelor's nursing. You don't have to get a bachelor in something else and then go to nursing school.

[A]

That's not how I was already, like, almost done with it, so I figured why not just finish.

[B]

No, just transfer the credits you have into nursing right now. It doesn't make sense to spend time and money on a degree you're never going to use just to go and get another degree. If you want to do nursing, let's transition to that. Now. Now. Now.

[A]

Yes.

[B]

Okay. Now today it might not make sense to even finish the semester that just got started. Yeah, like, it depends. So figure out what can be transferred to that institution that you're thinking about. I don't know, man. So this might extend for a few years. Okay, so, well, then we'll consider that maybe it takes another three years to get out of school because you Never know it's going to transfer to college. That's okay though, because again, you're 19, so it's calling you 23. Graduating with a nursing degree, fully funded emergency fund, fully out of debt. That's incredible. At that point you're just going to actually 53,020. Not your fake bull. 30.

[A]

20. Yes. Okay.

[B]

And I think your needs will be a little less because you won't have any debts going to transportation, which is a huge percentage of the needs for Americans. So you'll be able to do rent and groceries and all that good stuff. Your needs 50% or less. 20% you investing starting at 22, 23 into investing. Man, did you retire in with at least $2 million, maybe $3 million. You're gonna, it's gonna be incredible. In lucrative and awesome career path and rewarding paths such as nursing. Incredible. This is lovely. This is exciting. But it only is exciting if one, you stop around with school, you actually start pursuing that real thing. Stop your spending and, and follow this plan. One month emergency fund, pay off these debts, the most largest is fine for you. And save up a fully funded emergency fund. Complete that degree and then start following the 53rd. Tony. And don't around 30% of you're spending on nursing income, especially nursing throughout the long term. Where you can, where nursing can be 30% is a lot of fun money. And your needs can be even less if you want to regulate your needs less. And you can do like 40, 40, 30 or 40, 40, 20. So 40 on needs or. Sorry, yeah. 40% on needs, 40% on wants, 30% on or 20 on investing. Your wants can be higher if you cut back from needs. Yeah, but I don't want you to also live in like squalor. But, but your, your car is going to be paid for so you don't.

[A]

Have to, you know, like go get a new car.

[B]

Well, that's just not being contributed other than your gas and car insurance to your needs. So there's excitement and potential here. But a couple things threw me off the gambling thing. I need you to maybe put therapy into this budget or group or something like that. Consider multiple options. Just figure out what works best for you. I'm not going to prescribe you. I'm not a mental health expert, but I am scared about that. So I want you to think about that and pursue a couple things. The jewelry. I'd cut this process in half by selling all the jewelry and then boom, all of a sudden you're out of the majority of your debt and you can pay off the debt within a year, year and a half and have a fully funded merger fund in like two years. So that's what I would do. I'm nervous about the impulsive setting.

[A]

Yeah.

[B]

That stuff. And just. Yeah. Don't be a sugar baby at 16.

[A]

Don't, don't, don't, don't.

[B]

Whatever consenting adults want to do, consenting adults can do. Please do not do that. When you're young, very impressionable. So you've made mistakes. We're not going to judge you for the mistakes. I judge what's in front of me right now. And I want to make sure you don't fall into the mistakes again. So please don't. Please follow this path. Please sell the jewelry. Please take care of your mental health and addictions. And I think you're going to live an amazing life if you follow that.

[A]

I hope so. But who knows? Life is kind of crazy.

[B]

Life is kind of crazy. But also don't set yourself up for the potential of failure. Like look forward positively. Be excited to get out of this. That be excited to be in a place of success.

[A]

Mm.

[B]

Anything else?

[A]

No, not really.

[B]

Any questions? Any final thoughts?

[A]

I don't know. I think my whole thing is like what's like holding me back is the fact like once I get out of this. I know, be like in school debt, even though it's not like bad, but just to get out of debt to go back into more days, kind of like throwing me off.

[B]

Well, let's not go back into more debt. Unless it's like a mortgage. It's just again, you'll have a fully funded emergency fund. So if your car breaks down, you can get a ten thousand dollar car or whatever your emergency fund is. Once you're out of bad debt and you prioritize where money's going, you can set up a car fund on the side for the dream car as well. Out of like your wants or you know, however you divory up the percentage as long as you're doing 20 to investing so that you're set up for success in the future.

[A]

Okay.

[B]

You don't have to get out of debt, so you go into more debt. Just check yourself before you wreck yourself and top up the credit card because that'll allow you to go into more debt. Close that account, chop it up.

[A]

So both of them.

[B]

Yes.

[A]

Okay.

[B]

I would not have access to credit cards for you and your spending habits.

[A]

Maybe in the future.

[B]

Maybe. Maybe again. I was your age nine years ago and I've grown an insane amount Financially knowledge and just behavior and everything around there and maturity. So much so maybe because yes, you're at one point when I was your age I was not a credit card person and right now I am so sure. Maybe in the future I wouldn't have access to it right now.

[A]

Okay. That's what my stepmom tells me all the time.

[B]

And she's right. And your dad was right about the car.

[A]

Yes.

[B]

So no more round. Any final thoughts?

[A]

No, not really. I appreciate this though. I do, I appreciate you.

[B]

All right. For Brandon, definitely a long slog ahead. Obviously if he gets rid of that jewelry it'll be paid off sooner, but there's a lot of schooling to go ahead. I hope he focuses up and gets out of it. He has a really bright future ahead of him if he actually follows what we talked about. But for his Hammer Financial score, he gave himself a 1 out of 10. Spending your budget. It wasn't insanely bad, 3 out of 10. There was certainly unnecessary money going everywhere and then the budget was just kind of messed up. Debt wasn't the worst debt we've seen, but it certainly wasn't very good. If that went into collections it would be a 0 out of 10. But for now I'll give him a 2 out of 10 emergency fund. I'm glad with where he's been putting money to get that one month emergency fund. So I'm going to give him a three out of ten for that. Obviously it's nowhere near the six month emergency fund that's needed retirement and real estate for his age. It's expected to be 0 out of 10, so that's totally okay. That's not a just adjusted for age. This is, you know, where you want to be in life eventually. But he's obviously going to be 0 out of 10 for now. Hammer financial score 1.5 out of 10. But he will be a 5 out of 10 before he knows it. Don't forget to check out the resources linked in the description below. They are what I use or would use in specific situations. If you want to be in an episode of Financial Audit and you're able to make it down to Austin, Texas, fill out the survey in the description below.