I Make 6 Figures And Still Feel Behind Financially

Summary

The Ramsey Show Highlights — "I Make 6 Figures And Still Feel Behind Financially"

Date: June 13, 2026
Guests/Hosts: Dave Ramsey, Rachel Cruze
Caller: Jordan (24 years old, government employee, San Diego)

---

Episode Overview

This episode addresses the rising sense of financial anxiety among young high earners, featuring a caller, Jordan, who makes $120,000 a year but still feels unable to achieve his life and financial goals, especially in a high-cost area like San Diego. Dave Ramsey and Rachel Cruze provide practical advice, challenge misconceptions around wealth-building, and reinforce the importance of patience, budgeting, and balanced financial habits.

---

Key Discussion Points & Insights

1. The Pressure of “Having It All” Early

• Jordan’s Dilemma: Jordan expresses frustration that, despite solid income and responsible habits, milestones like homeownership, starting a family, and providing single-handedly feel unattainable.
  • “The more time goes on and the more money I make, the life I always imagined keeps going further and further out of reach.” — Jordan [00:24]
• Dave’s Perspective: The anxiety stems from an artificial timeline and internalized pressure, not reality.
  • “You’ve assumed that you have five years left to live and that you must accomplish all of this in the next five years or else. So all you need is patience.” — Dave Ramsey [01:26]
  • Dave urges Jordan (and listeners) to recognize there’s no rulebook dictating a certain status by a certain age.

2. The Power of Patience and Incremental Progress

• “You're doing so well at 24, far better than I was... There’s no rule book that says if you don’t own a house in San Diego by 25, you screwed it up.” — Dave Ramsey [01:28]

• Rachel Cruze highlights the comparison trap spurred by social media:

  • “If you are in your early 20s making six figures, no debt... you are doing it well. The hard thing about building wealth the right way is that it takes time and patience. It’s not going to be as flashy as the people you see on TikTok...” — Rachel Cruze [04:13]

3. Jordan’s Financial Habits and Mindset

• Current Finances:

  • Income: $120,000/year
  • Car loan: $7,000 remaining
  • Savings: $20k (investments), $5k (cash), $25k (Roth IRA), $25k (TSP/retirement)

• Debt Aversion & Saving Addiction: Jordan fears debt, finds comfort in saving, but struggles to enjoy or spend money without guilt.

  • “I’m just so addicted to saving my money. I’m so afraid of bad debt that I think there’s a lot of things I don’t do...” — Jordan [02:13]
  • “The idea of me losing $7,000 in cash and it goes into my car...feels wrong because if I don’t save, I feel like I’m failing.” — Jordan [06:36]

• Advice:

  • Pay off the car loan immediately from savings — remove the psychological barrier of small debts.
  • Focus on a fully-funded emergency fund as the next priority.

4. Money Mindset: Origin and Emotional Impact

• Family Influence: Jordan’s financial fear is partly rooted in his upbringing, with a hardworking father but no retirement security.
  • “My dad is the hardest working guy I know. He doesn’t have a retirement, he doesn’t have anything... I want the opposite of that.” — Jordan [06:23]
• Rachel’s Response:
  • Saving can become an unhealthy obsession if driven purely by fear.
  • “If you have this mentality the rest of your life, that’s where money can become an idol...fear has driven my financial decisions to not a healthy balance of all of this.” — Rachel Cruze [07:09]

5. The Importance of Budgeting for Enjoyment and Giving

• Balanced Life:
  • Dave and Rachel advocate budgeting for fun and generosity, not just saving.
  • “Budget for the fun stuff, budget for some giving and budget for the saving.” — Dave Ramsey [08:12]
  • “Over the course of your life, money should not become the sole focus or source of security.” — Rachel Cruze [07:09]

6. The Power of Time and Compounding (Investment Examples)

• Long-Term Investing: Dave and Rachel illustrate how compounding transforms even modest investments.
  • “If you never put another dime in, what you’ll have at retirement 40 years from now with compound [interest]... you’re gonna be doing great.” — Rachel Cruze [08:23]
• Calculations with Jordan’s Numbers:
  • At age 24, $50,000 invested, no further contributions, 10% annual return → $2.68 million by age 64 [10:20]
  • Investing 15% of his income ($1,500/month), 10% return → $12 million by age 64 [11:01]
  • “That’s if you never get a raise and your spouse never works.” — Rachel Cruze [11:09]

7. Living (Not Just Accumulating) Wealth

• Dave references the book "Die with Zero" — not agreeing with all of it, but using the principle that money should be experienced through living, not just hoarded for retirement or inheritance.
  • “Don’t wait until you’re 70 or 80 to then hand your kids a million bucks when they don’t need it in their 60s. Use it. Enjoy it while you’re alive.” — Dave Ramsey [11:40]
• “Enjoy some of the money because you’re going to get to 12 million and go, ‘Should have went on a vacation probably...’” — Dave Ramsey [11:12]

---

Timestamps & Memorable Quotes

| Time | Speaker | Moment / Quote | |-------|---------------|--------------------------------------------------------------------------------------------------------| | 00:24 | Jordan | "The life I always imagined keeps going further and further out of reach..." | | 01:26 | Dave Ramsey | "You’ve assumed you have five years left to live... all you need is patience." | | 04:13 | Rachel Cruze | "The hard thing about building wealth the right way is that it takes time and patience..." | | 06:23 | Jordan | "My dad is the hardest working guy I know. He doesn’t have a retirement..." | | 07:09 | Rachel Cruze | "If you have this mentality the rest of your life, that’s where money can become an idol..." | | 08:12 | Dave Ramsey | "Budget for the fun stuff, budget for some giving and budget for the saving." | | 08:23 | Rachel Cruze | "You’re gonna be doing great. Even where you are now, you’re doing great, Jordan. So chill, relax..." | | 10:20 | Dave Ramsey | "$2.68 million at 64. If he never adds a dime..." | | 11:01 | Dave Ramsey | "$12 million dollars at 10% rate of return. Jordan." | | 11:12 | Dave Ramsey | "Enjoy some of the money because you’re going to get to 12 million and go, ‘Should have went on a vacation probably...’" |

---

Key Takeaways for Listeners

• Patience is everything: Don’t measure yourself against artificial timelines or social comparisons.
• Focus is key: Kill small debts, build an emergency fund, and automate investments.
• Budget for your life: Make room for giving and joyful spending — not just accumulation.
• Let time work: Compound growth is transformative; starting early is more important than starting big.
• Fear isn’t strategy: Don’t let financial anxiety paralyze you from enjoying life or investing in experiences now.
• You’re not behind: Even if you feel stuck, you may be further ahead than you realize — and you have time to achieve your goals.

---

Final Encouragement

• “Start where you are. The best time to plant a tree was 20 years ago. The next best time is today.” — Dave Ramsey [12:13]
• “Chill, relax, enjoy the ride.” — Rachel Cruze [08:23]

---

For more guidance: Use the EveryDollar budgeting app, and try the Ramsey investment calculator (link in the show notes).

Transcript

[Dave Ramsey]

Brought to you by the EveryDollar app. Start budgeting for free today.

[Jordan]

I'm 24 years old and my current income is about $120,000 a year. The reason I'm calling you guys today is feels like my entire life, people always told me, go to college, get a good job, make a lot of money, and everything else will follow. I think I've done a pretty good job at getting to that point now. But it seems like the more time goes on and the more money I make, the life I always imagine myself having keeps going further and further out of reach. The reason I say that is, as I said, I live in Southern California, in San Diego. I look for houses in San Diego too far out of my reach. I make a broader circle and I go further. And no matter how far I go, it still feels like houses. A mortgage is going to cost me around $3,500 to $4,000 a month, with which, with my income doesn't sound so bad, but I think I've finished most of the steps I want to in life, and the next thing I want to do is start a family and have kids and focus on that. And it just feels so out of reach for me to keep contributing to my savings accounts, to pay off a mortgage, to be able to support my wife while she stays home and to take care of kids and make sure that they have some sort of support going to school. And I don't really know if I'm doing something wrong or if there's something I could do differently.

[Dave Ramsey]

Here's what you've done wrong, Jordan. You've assumed that you have five years left to live and that you must accomplish all of this in the next five years or else. So all you need is patience. You're doing so well at 24, far better than I was. And yes, you have a high cost of living area, but there's no rule book that says if you don't own a house in San Diego by 25, you screwed it up, man. And so release yourself from the guilt and from the lies that you were told that if you just do all of these things, your life's going to be great. Those people meant well for you, but they don't live your life. And so I would just be very patient.

[Jordan]

Go.

[Dave Ramsey]

You're crushing it. Let's learn to live on less than we make. Put money in savings and then do this for the next six years and then call us and see where you're at.

[Jordan]

Okay, I appreciate that. Something I did want to ask. I'M currently putting money into. I work tsp. I work for the government, so we have a savings plan. I put money into my personal investment account that I'm saving, and I feel like, obviously I'm extremely grateful for the job that I have. And I know a lot of people are in a much worse situation than me, but I feel there's a lot of things I don't do because I'm just so addicted to saving my money. I'm so afraid of bad debt that I think there's a lot of debt. Do you have any debt? I have a $7,000 remaining on my car note.

[Dave Ramsey]

Okay.

[Jordan]

So other than that, are you working

[Dave Ramsey]

on paying that off?

[Jordan]

Yeah, I just paid off. It's. I think it's 290amonth. And it. It's easier for me to. Just.

[Dave Ramsey]

How much do you have in savings?

[Jordan]

I currently have in my individual investment account, I have around $20,000 in savings, liquid cash in my savings account. Have 5,000. And then I have personal Roth IRA with 25. And then, like I said, my TSP has another 25 in it. Great.

[Dave Ramsey]

Well, you're doing great on the investment side. I would just have some focus with your financial goals. And right now, my singular focus would be getting out of debt. The next focus is to have a liquid emergency fund of three to six months of expenses. And as a young single guy, this is also the best time because you have no other responsibilities, no one else to answer to. It's just you and your own goals. So you can actually make a lot of traction right now until you meet that wonderful person, start a family. Maybe they'll be working, too. Your income's going to grow over that time. And so all you're seeing right now is this little tiny snapshot of your life right now, and then you see these very big goals far away. And I think you're closer than you realize.

[Rachel Cruze]

Yeah. And I don't think you're comparing your life to reality either, Jordan. So you either have expectations that you should be, you know, where you should be at 34 and you're 24.

[Jordan]

Yeah.

[Rachel Cruze]

Or you were, you know, seeing people on social media or your friends are talking, you know, whatever it is, and that what. What's being painted in front of you is prob. Not the full picture either. And so if you are in your early 20s making six figures, no debt. So I'm going to count that for you because I want you to pay off your car tonight with some of the savings. Okay. Just be done with the car and Then. And you have cash, you know, saved, you have investments. Like, everything that you're doing, you are doing it well. And the hard thing about building wealth the right way is that it takes time and patience. It's not going to be as flashy as the people you see on TikTok that are like, I bought 18 VRBOs and, or VRBO, whatever they call, or, you know, Airbnb and like, you know what I mean? Like, you're gonna see and I make 1 million a month or like, what all the crazy stuff you see majority of the time, number one is not even true. Or number two, they've built their entire financial life on a house of cards. So slow and steady wins the race. And it's not gonna be flashy, it's not gonna be exciting, but it is gonna be solid and it's gonna be all yours. Cause you're not gonna be borrowing money to do any. To do any wealth building. It's going to be you actually making decisions about your life. And so that's what I would encourage you, that I think what you're wanting is not bad or wrong, but I think feeling like a failure because you don't have it right now, to George's point, at 24, we just want to like, be like, Jordan, you're good. You are. You're doing great. You're doing great.

[Jordan]

I think that one of the reasons I'm so overwhelmed now is because I have happy to say I've already met the love of my life. We're talking about marriage.

[Rachel Cruze]

Oh, great.

[Jordan]

Talking about kids.

[Rachel Cruze]

Yes.

[Jordan]

I don't have a ring, I don't have a wedding. I don't have a honeymoon, which is obviously, I'm not planning on spending an extravagant amount on it. Right. I can't imagine bringing kids into the world until I feel ready. Which

[Dave Ramsey]

everyone tells you, not emotionally, not financially. The best thing you can do is be debt free with an emergency fund and be aligned with your spouse on your goals, financially, spiritually, all of that. That's the best thing you can do to be ready. Other than that, don't wait until you have a certain amount in your investment account to have a kid.

[Rachel Cruze]

No. And go ahead and get married. Jordan. If you guys know, do it.

[Dave Ramsey]

What's holding you back right now? Is it finances?

[Jordan]

I'm so afraid of not having money.

[Rachel Cruze]

How did you grow up, Jordan?

[Jordan]

I grew up. So my dad is the hardest working guy I know. He's never. He doesn't have a retirement, he doesn't have anything. That's your Fear, another thing.

[Rachel Cruze]

That's your feel.

[Jordan]

And I'm just. Yeah. I'm so worried.

[Rachel Cruze]

Yeah.

[Jordan]

Like, I want. I love my dad, but I want the opposite of that.

[Rachel Cruze]

Yes.

[Jordan]

I want the idea where I know the bills are gonna get paid. That's why I love my job. Everyone talks about owning a business. I love having a union. I love having a stable paycheck. I love having investments made into my account automatically. And there's no other way to rather do it. Yes. The idea of me like you're telling me to pay off the $7,000. Right. Which I know is a great idea. The idea of me losing $7,000 in cash and it goes into my car, I know it's a good idea, but it feels wrong because in my head, if I don't save, I feel like I'm failing.

[Rachel Cruze]

Right. Because at that point, from where your psychology is, is that saving is the only. The only thing you should do with money. And out of good reason, because you're looking at your parents and like, holy crap, they have nothing. They're not gonna. They work so hard, but now they have nothing to show for it at retirement. But here's the deal, Jordan. There's two other parts of money that you have to engage in to have a holistic, healthy financial picture. Giving and spending. Okay? So you may go through seasons where you're gonna be saving more. Maybe you and your soon to be fiance, soon to be wife, you're saving up for that down payment on a home. And you guys are really like, hey, we're gonna pull back on lifestyle to really get that down payment. That's great. But over the course of your life, Jordan, if you have this mentality the rest of your life, that's where money can become an idol. You will hold onto it so tightly and have this sense of security that this is gonna be your answer. And then you're gonna look up and realize, oh my gosh, I have. I've wasted my whole life because fear has driven my financial decisions to not a healthy balance of all of this.

[Dave Ramsey]

So I want you to budget is your answer. Budget for the fun stuff, budget for some giving and budget for the saving.

[Rachel Cruze]

Yes.

[Dave Ramsey]

And then realize, I'm young, I got a lot of time on my hands. You're doing so good.

[Rachel Cruze]

Hey, and Jordan, go on ramseysolutions.com and pull up the investment calculator and put in what you have right now with investments at 24. And if you. And just do the math. If you never put another dime in, what you'll have at retirement 40 years from now with compounds, you're gonna be doing great. Even where you are now, you're doing great, Jordan. So chill, relax, enjoy the ride. Well, George, when it comes to investing, we were talking about just the previous segment of how powerful time is. And even if you just do the boring stuff, time is on your side. So the earlier you can start, the better off you're going to be.

[Dave Ramsey]

Yeah. And the first milestones are really hard. And then it's like a hockey stick with compound growth. So getting to that first hundred thousand invested is such a marathon. And then from a million to 2 million, you sort of blink and you're there if you do it the right way. So I want to take Jordan's numbers who was on the call with us. He made 120 grand a year and he felt like it just wasn't enough. He was behind. He can't accomplish his goals. So he was like hoarding money to invest and couldn't enjoy any of it. And I just wanted to show the audience at home, even if he never invested another dime, where his investments would be okay to help with the scarcity mindset that he was experiencing. So he's currently 24. We're going to pull up the screen here if you're watching on YouTube or Spotify or the Ramsey Network app. So 24 years old. Let's go to 64. So it's a 40 year career. And he currently has, he said 25K in a Roth, 25K in the tsp. So we'll call that 50K. And he's never going to add another dime. So how much will you contribute monthly? 0. And I'm using the Ramsey investment calculator. We'll put a link in the show notes to plug your own numbers in annual return. I'm gonna go with 10%. Now in the last since 1950, the S&P 500, which is the top 500 companies in America, have returned about 11.8%. So 10% is very realistic.

[Rachel Cruze]

Let's do both. Let's do both. We'll go conservative 10.

[Dave Ramsey]

And then Rachel will be the optimist. Glass half full guy.

[Rachel Cruze]

Always more.

[Dave Ramsey]

All right, I'm Gonna hit calculate $2.68 million at 64. If he never adds a dime, which basically 2.7. See if you round it percent, you were looking at 5.9 million.

[Rachel Cruze]

5. That's a 2.

[Dave Ramsey]

That's pretty wild. $6 million story over 40 years really adds.

[Rachel Cruze]

I hope he hears this.

[Dave Ramsey]

But let's go back and let's say

[Rachel Cruze]

you never do another thing. Isn't that wild? Never do another thing.

[Dave Ramsey]

Compound growth. And look, the contributions. He didn't contribute anything but the 50 and it turned into that just by.

[Rachel Cruze]

So if you could imagine continuing to invest 15% of your income.

[Dave Ramsey]

15% of his 120 grand. That's 1500amonth from 24 to 60. Let's see what happens if he continues this.

[Rachel Cruze]

Oh, my gosh.

[Dave Ramsey]

12 million DOL dollars at 10% rate of return. Jordan.

[Rachel Cruze]

There you go. Jordan.

[Dave Ramsey]

So if, and that's if you never get a raise and your spouse never works.

[Rachel Cruze]

That's right. Yeah. Yeah, that's a good point.

[Dave Ramsey]

So let us free you.

[Rachel Cruze]

Yeah.

[Dave Ramsey]

Enjoy some of the money because you're going to get to 12 million and go. Should have went on a vacation probably. That probably would have been a good idea. I got a lot of money now and don't have enough time to spend it.

[Rachel Cruze]

Some furniture that we actually like, enjoy and want to pick out. You know what I mean? Like there's, it's. Okay.

[Dave Ramsey]

Well, that's what happens. We, you know, we talk about this book, Die with Zero, which we don't agree with everything in the book, but the concept is do not wait until you're 70 or 80 or at the point where you pass away to then hand your kids a million bucks when they don't need it in their 60s.

[Rachel Cruze]

That's right. That's right.

[Dave Ramsey]

Use it. Enjoy it while you're alive.

[Rachel Cruze]

And even giving them some too. Right. But while you're alive, actually be.

[Dave Ramsey]

Give people like Jordan a leg up to be able to buy a house in San Diego at 24 if you're that boomer.

[Rachel Cruze]

So that's right.

[Dave Ramsey]

There you go. Some encouragement that you don't have to retire broke. And the younger you are, the more every dollar counts because it has more time for compound growth.

[Rachel Cruze]

We hear that all the time. People like, why did I not start this earlier? Why did I not get out of debt and start, you know what I mean? Start the whole babysit process.

[Dave Ramsey]

Why didn't I start when I was four years old? I would have had an extra 20 years.

[Rachel Cruze]

Not George, but that's the idea.

[Dave Ramsey]

The best time to plant the tree was 20 years ago. The next best time is today.

[Rachel Cruze]

Start. Start where you are.

[Dave Ramsey]

We all wish we could have started earlier.

[Rachel Cruze]

That's right.

[Dave Ramsey]

Create your free every dollar budget today. The simplest way to budget for your life.