The Ramsey Show Highlights
Episode: “I'm 51 and Have No Retirement (I Only Make $50,000)”
Date: August 22, 2025
Host: Dave Ramsey & Ramsey Network Team
Duration: ~10 minutes

Episode Overview

This episode features a deeply personal call from a 51-year-old woman navigating life and finances after a divorce that left her with minimal retirement savings, some debt, and new responsibilities. With an annual income just over $50,000, plus a side hustle, she seeks Dave Ramsey’s guidance on how to build a secure financial future and start retirement planning from scratch. Dave offers practical, step-by-step advice—the Ramsey “baby steps”—and provides reassurance that financial security is still within reach.

Key Discussion Points and Insights

1. The Caller’s Financial Situation

[00:06 - 03:25]

• The caller shares her backstory:
  • Divorced after 22 years; lost her husband’s higher income support ($130k vs. her ~$45k at the time).
  • Sold her house, paid off $60k in master’s degree loans, $6–8k undergrad loans, and a parent plus loan.
  • Co-signed on her daughter’s student loans, but the daughter is currently making payments.
  • Current assets: $38,000 in a money market, $3,000 in emergency funds.
  • Annual salary (2024–25 school year): $52,400 as a private school teacher, with $14,000 estimated in side income.
  • Owes $25,000 on a car worth $21,000 (a vehicle purchased/refinanced before the divorce).

2. Tax Withholding Confusion

[02:45 - 03:00]

• The caller reports 30% of her side income goes to taxes.
  • Dave Ramsey: “You’re not in a 30% tax bracket…”
  • He recommends she review her tax filing, hinting at possible over-withholding or a need for proper quarterly payment adjustments.

3. Retirement Account Options

[03:00 - 03:36]

• Her employer is adding a retirement account with a 3% match (not a traditional 401k).
• Caller feels behind and is anxious about her retirement prospects.

4. Empathy and Encouragement

[03:36 / 04:12]

• Dave empathizes with the caller’s emotional and financial trauma:
  • “You’ve had your heart broken and you’ve been drug around behind a car for the last two years. So you’re just raw, right?” – Dave Ramsey [03:36 & 04:12]

5. The Ramsey Baby Steps Approach

[04:12 - 07:54]

• Dave reviews her numbers and walks her through the “baby steps”:
  1. $1,000 Emergency Fund: Already complete.
  2. Debt Payoff: Recommends using the $38,000 savings to pay off the $25,000 car loan immediately, freeing her from debt and leaving ~$16,000 for emergencies.
     • “If I woke up in your shoes, I would write a check today and pay off the car. Now I’m debt-free and I have $13,000 left…” – Dave Ramsey [06:04]
  3. Fully-Funded Emergency Fund: With remaining savings, she fits this step.
  4. Invest 15% for Retirement: With her combined income, consistently investing 15% could yield a retirement nest egg of $500–800k by age 65–70, even with moderate raises.
     • “Lots of 51-year-olds making $50,000 a year…have become millionaires by the time they were 65 or 70. Lots of them.” – Dave Ramsey [04:23]
  5. Breakfast with Encouragement: Stresses her strengths—process-driven and detail-oriented—are assets for success.
     • “Let the facts talk to you. The facts have done a good job talking to you in the midst of all your pain and trauma... Congratulations.” – Dave Ramsey [07:43]

6. Advice About Her Daughter’s Loans

[07:54 - 08:12]

• Dave encourages the caller to keep her daughter responsible for her own student loan repayments:
  • “Make sure she gets a freaking job and she pays the bill. She’s got to be responsible. She can’t throw this back on you, right?” – Dave Ramsey [07:55]
  • “Mom’s on this thing and mom can’t handle any more people dumping on her.” – Dave Ramsey [08:12]

7. Free Resource Offer

[End]

• As support, Dave offers her the free use of the EveryDollar app's advanced version to help her stay organized and on track with her budget.

Notable Quotes & Memorable Moments

• On resilience and clarity:
  • “You know all your numbers, we don’t have to ask you what they are… just spitting them out, even the ones in the past that don’t matter anymore.” – Dave Ramsey [04:20]
• On overcoming past mistakes:
  • “That’s that stupid car that was bought right before the divorce, right? And you refinanced it. And so you got screwed twice on it.” – Dave Ramsey [05:44]
• On moving forward:
  • “You can fight through this. You can do it.” – Dave Ramsey [08:12]

Timestamped Highlights

• 00:06 — Caller outlines her situation after divorce
• 02:45 — Tax repayment confusion and advice
• 03:36 / 04:12 — Dave offers empathy and pivots to practical steps
• 05:32 — Analysis of car debt and advice to pay it off
• 06:58–07:18 — Future projections: potential to reach $500k–800k in retirement savings
• 07:54 — Guidance on handling daughter’s student loans
• End — Host gifts the caller a subscription to the EveryDollar budgeting app

Conclusion

This episode underscores a message of hope: it’s not too late to build financial security, even after significant setbacks. With practical discipline, a clear plan, and the use of available tools, individuals in their 50s can make real progress toward a stable and dignified retirement.

For actionable tools and further guidance, check out the EveryDollar budgeting app as recommended in the episode.