I'm 65 And My Retirement's Gone (What Now?)

Summary

The Ramsey Show Highlights

Episode Title: I'm 65 And My Retirement's Gone (What Now?)
Date: July 20, 2026
Hosts: Dave Ramsey, Rachel Cruze
Featured Caller: Karen

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Episode Overview

In this emotionally charged episode, Dave Ramsey and Rachel Cruze provide urgent financial and life advice to Karen, a 65-year-old woman who recently lost her retirement savings due to her ex-husband's risky investments. The show focuses on next steps after a major financial setback in late life, emphasizing practical options for stability, new beginnings, and critical lessons about financial transparency in relationships.

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Key Discussion Points & Insights

1. Karen’s Situation Explained (00:06–02:30)

• Karen reveals she is 65, recently divorced after discovering her husband lost all their retirement funds by day trading. She now owns a $300,000 house outright, receives small amounts of alimony and Social Security, and works as a receptionist making $25,000/year. Additionally, she has a $70,000 inheritance and minimal expenses, but no other significant assets.

• Notable detail: Her ex-husband, 59, took a lump-sum retirement and lost about $500,000 in the market.

  Dave Ramsey [01:17]: “Whoa.”
  (In response to learning the scale of the financial loss)

2. Assessing Immediate Next Steps (02:45–03:08)

• Dave recommends setting aside $20,000 as emergency savings from Karen's $70,000 inheritance and investing the other $50,000 with professional help (a SmartVestor Pro).

• The crucial question: Does Karen keep or sell her $300k house?

  Dave Ramsey [02:45]: “How we got here doesn’t change the answer, although it adds to the emotion of everything.”

3. Evaluating Housing Options (03:44–04:32)

• Dave suggests that, disregarding emotion and focusing strictly on maximizing her assets, Karen should consider selling her house and buying a less expensive condo ($150,000), investing the sale proceeds.

  Dave Ramsey [03:55]: “If we’re only doing math ... you go buy a $150,000 condo, and you take another 150 of that house and you put it in good mutual funds. Now you got 220 at 65. Now at 70, that 220 will be a half million if you don’t add anything to it.”

• Rachel agrees, urging Karen to prioritize long-term security.

4. Reclaiming Financial Narrative and Income (04:32–05:41)

• Dave presses Karen to rethink limiting beliefs about age and work, encouraging her to harness her potential.

  Dave Ramsey [04:33]: “I’m gonna reset your narrative in your head of ‘I’m 65, I don’t have time for another career.’ Yeah, you do. … I would not take somebody as bright as I’m talking to and make them only a receptionist because I’m 65.”

• Karen shares she was previously a medical lab technician, a more lucrative position. Dave encourages her to explore higher-earning opportunities rather than settling.

5. Discussion on Divorce, Dependency, and Autonomy (05:41–06:42)

• The hosts note the unpredictable nature of alimony from her ex and emphasize the benefits (and challenges) of being fully in control of her financial future.

• Emotional support is provided, recognizing both the severity of the setback and the opportunities ahead.

  Dave Ramsey [06:13]: “The bad news is you’re by yourself. The great news is you’re by yourself. … All the baggage is in the rearview mirror. That’s why they call him an ex.”

6. The Importance of Financial Transparency in Marriage (06:42–08:06)

• Dave and Rachel strongly reinforce the value of complete transparency in household finances to prevent such disasters.

• They debate common arguments against combining finances and stress the need for both partners to remain actively aware and involved.

  Dave Ramsey [07:10]: “That’s exactly why you do combine. Because you’re looking over his shoulder, and the first time he day trades, you shut the whole thing down.”
  Rachel Cruze [07:51]: “It’s easy in a marriage just to let one person … do this, I do this. … And you both have to be doing both as well.”

7. The Dangers of Day Trading (08:06–09:08)

• Dave cites research showing 97% of day traders lose money over two years, reinforcing the irresponsibility and risk of such strategies.

  Dave Ramsey [08:21]: “If a person day trades consecutively for 24 months, 97% lose money. ... That’s just a fact now. … Day trading is stupid is what that means.”

• Rachel highlights that putting all assets in one investment magnified Karen’s losses. Dave uses a blunt analogy to illustrate the folly.

8. Final Encouragement and Takeaways (09:08–End)

• The hosts stress that their strong warnings result from compassion for people like Karen who have suffered serious consequences due to poor financial practices by others.

• They offer ongoing support and urge Karen (and others in similar situations) to seek help and not be ashamed.

  Dave Ramsey [09:08]: “These are the reasons situations like yours are why we get so hyped up against some of the things that happened to you.”

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Notable Quotes & Memorable Moments

• “How we got here doesn’t change the answer ... but I’m still going to say: set $20,000 aside as your emergency fund, sit down with a SmartVestor Pro, invest the $50,000, and do you sell the $300,000?”
  — Dave Ramsey [02:45]

• “If we’re only doing math ... you go buy a $150,000 condo ... that 220 will be a half million if you don’t add anything to it.”
  — Dave Ramsey [03:55]

• “I’m gonna reset your narrative in your head of, ‘I’m 65, I don’t have time for another career.’ Yeah, you do.”
  — Dave Ramsey [04:33]

• “The bad news is you’re by yourself. The great news is you’re by yourself. … All the baggage is in the rearview mirror. That’s why they call him an ex.”
  — Dave Ramsey [06:13]

• “If a person day trades consecutively for 24 months, 97% lose money. ... Day trading is stupid is what that means.”
  — Dave Ramsey [08:21]

• “You shouldn’t marry him ... If you can’t sit down together and both of you talk about everything going on with your money, you shouldn’t get married in the first place.”
  — Dave Ramsey [07:41]

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Important Timestamps

• 00:06–01:28: Karen reveals her story and current situation
• 02:45–03:08: Immediate financial advice: emergency fund, investing, considering selling the house
• 03:55–04:32: Specific strategy for downsizing and investing proceeds
• 04:33–05:41: Discussion of career narrative, former career, and potential to increase income
• 06:13: Empowering perspective on going solo after divorce
• 06:42–08:06: In-depth discussion about combining finances with a spouse
• 08:06–09:08: Data and warnings around the dangers of day trading

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Episode Takeaways

• Downsize to maximize assets: Consider selling a large home, buying a more affordable property, and investing the difference for future growth.
• Set aside emergency reserves: Always keep a cash buffer for unexpected events.
• Reframe late-life career potential: Age doesn't have to limit new work opportunities or earning potential.
• Avoid risky investments, especially day trading: The odds of success are overwhelmingly poor.
• Full financial transparency in relationships is crucial: Both partners must be involved and accountable.
• Seek expert help: Talk to reputable professionals (like a SmartVestor Pro) when making significant financial decisions.

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Final Note:
The hosts extend empathy to Karen and listeners facing similar challenges, reinforcing hope and agency no matter the setback—and reminding listeners that clear, cooperative, and transparent financial practices are both protective and empowering.

Transcript

[Dave Ramsey]

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[Karen]

I'm 65 years old, and I recently found out that my husband lost all of our retirement and all of our money. And I ultimately ended up getting a dissolution because he gave me the house. I have no debt, basically, but I have a $300,000 house. I had to get a job and have a little bit of alimony, a little bit of Social Security. I have about $70,000 from money that my mom left me. And I'm just wondering how to move forward. Do I sell the house and invest the money?

[Rachel Cruze]

Wow. Oh, Karen, I'm so sorry.

[Dave Ramsey]

Yeah. You said you're how old?

[Karen]

65.

[Dave Ramsey]

How long were you married?

[Karen]

15 years. He's 59.

[Dave Ramsey]

What did he do with the money?

[Karen]

He retired at 54 and took a lump sum. And then because he dabbled in the market, he decided to do that full time. And I managed the daily budget and he managed the retirement money. And what I did not know is that he moved his retirement money into his trading account. And last year he went all in on something and.

[Rachel Cruze]

Oh my God.

[Karen]

Lost about 500,000.

[Dave Ramsey]

Whoa.

[Karen]

And so he left, and then he came back, and when I found out we were lost the rest of it, I told him to get a job and he left again.

[Rachel Cruze]

Oh, Karen.

[Dave Ramsey]

So what do you make it, your career?

[Karen]

Tired a while back, many years ago. So I've got. Because I'm 65, I don't want to start a career again. So I'm a receptionist, and I'm bringing in about 25. Wow. About 1600. I mean. Yeah, 1600amonth.

[Dave Ramsey]

Other than your broken heart, how's your health?

[Karen]

It's okay so far. I mean, I. I'm. My plan is to maybe work for another 10 years. I'll have to.

[Dave Ramsey]

Okay.

[Rachel Cruze]

Is the house paid for, Karen?

[Karen]

It. It is. He had me take my Social Security early, so I don't get as much there, and my 401k is gone.

[Dave Ramsey]

So that was part of what he lost?

[Karen]

Well, we lived off of it for a while while he was investing, because I was older and I was 59 and a half.

[Rachel Cruze]

So you could take it without penalty? Yeah.

[Karen]

Yeah.

[Dave Ramsey]

So you got 70 grand and 300 grand and a $25,000 a year job.

[Karen]

Okay. Yeah.

[Dave Ramsey]

How we got here doesn't change the answer, although. It just. It adds to the emotion of everything. For sure. But I'm still going to say I'm going to set 20,000 of the 70 aside as your emergency fund. I'm Going to sit down with a smartvestor pro and invest the 50. And do you sell the 300?

[Rachel Cruze]

I wonder what one.

[Dave Ramsey]

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[Karen]

This is a paid advertisement in MLS ID 1591 in MLS consumer access.org equal housing lender.

[Dave Ramsey]

What's the history on the house?

[Karen]

The history.

[Dave Ramsey]

I mean, do you. How long you owned it, or.

[Karen]

Yeah, We've owned it 14 years. It's in pretty good shape. Okay.

[Dave Ramsey]

All right. I mean, if we're only doing math and all we're trying to do is just maximize everything, regardless of the emotion or regardless of just quality of life. You go buy $150,000 condo, and you take another 150 of that house and you put it in good mutual funds. Now you got 220 at 65. Now at 70. That 220 will be a half million if you don't add anything to it. So, yeah, I'm probably doing that.

[Rachel Cruze]

Go get a condo or something.

[Dave Ramsey]

And then the second thing I'm gonna do is I'm gonna reset your narrative in your head of, I'm 65. I don't have time for another career. Yeah, you do. You got plenty of time in the world we live in today. Things spin up so fast and make so much money so quickly. I would not take somebody as bright as I'm talking to and make them only a receptionist, because I'm 65 for the next 10 years and I make nothing. Instead, I'd try to figure out a way to go make some money. And I think you got shops, girl. I think there's some stuff you can do. What was your former career?

[Karen]

I was a medical lab technician making about 50,000.

[Dave Ramsey]

Okay.

[Karen]

Which is pretty intense of a job and hard to start over in.

[Dave Ramsey]

Yeah.

[Karen]

Okay. He. He's supposed to be giving me a thousand dollars alimony, but that's not gonna change your life. Well, I don't know if it's gonna be.

[Dave Ramsey]

Besides that, he's not dependent either. Yeah, he's not dependable. He's not. You can't. Can't project where you're gonna end up with that.

[Karen]

So if I rent, I mean, the Alamo, I Wouldn't rent?

[Rachel Cruze]

No, I'd go buy something. 150 to 200.

[Dave Ramsey]

Pay cash for $150,000. Condo.

[Karen]

Yeah. And the condo fees.

[Dave Ramsey]

Yeah, but, you know, but you got 150,000 freed up. When you do that and invest, it'll be add to the 50. That's, you know, then you got 200, and that'll be that. That will grow to a half million dollars by the time you're 75. And so by the time you're 72. 72. So. And you'll be adding to it during that time. And so you could retire in a very good shape, you know, in your early 70s. But. But the variable is if we could triple your income. And that changes the math on this. Speeds it up dramatically and increases the probability of a good outcome. And the bad news is you're by yourself. The great news is you're by yourself. You don't have to convince anybody to do this, but you and all the baggage is in the rearview mirror. That's why they call him an ex. Wow. I'm so sorry.

[Rachel Cruze]

I know. Karen. That's horrible.

[Dave Ramsey]

Horrible thing to go through. So, yeah, gang, we talk about this all the time. Combining your finances and having full transparency and full decision making as a paired thing. Both of us know everything that's going on. Both of us know. And so that gives us checks and balances when we do that.

[Rachel Cruze]

And I can hear in my other year, people are like, this is why you don't combine. You know, yada, yada, yada. But here's the deal.

[Dave Ramsey]

That's exactly why you do combine. Because you're looking over his shoulder, and the first time he day trades, you shut the whole thing down.

[Rachel Cruze]

Yeah, well, if you're involved, if you're looking at the details of what you're saying. But he took her. They had money combined, and he took her 401k.

[Dave Ramsey]

Yeah, but they weren't combined in their operating of their household.

[Rachel Cruze]

Okay, 100%. That's what I'm saying is I can hear someone say, oh, my gosh, that SC scares me. I want to keep my stuff over here to protect it, to make sure that he doesn't touch it. But what I'm saying is you shouldn't marry him. That's it. That too, yes.

[Dave Ramsey]

If you can't sit down together and both of you talk about everything going on with your money, you shouldn't get married in the first place. Not talking about her. I'm just talking about.

[Rachel Cruze]

In general terms. Yes. And it's easy in a Marriage just to let one person. You do this, I do this. And that's kind of what she said. I did the monthly budget, he did the investing. And you both have to be doing both as well.

[Dave Ramsey]

But George just did fresh research and it was amazing. It used to be a lower number, but he found that if a person day trades consecutively for 24 months, 97% lose money.

[Rachel Cruze]

I believe it.

[Dave Ramsey]

That's all of you. That's stupid.

[Rachel Cruze]

And all eggs in one basket. He put everything in one thing.

[Dave Ramsey]

90% of the time I drive down that road, a kid throws a rock at my car, you know, I'm not driving down that road anymore. I mean, 97%, that's not even a statistic. That's just a fact now. So just day trading is stupid is what that means. And so as soon as somebody says that, all of your bells, whistles and alarms need to be going off and going new, new, new, new, new, new, new, new with a capital H. No, we're not doing this. No. Wow. I'm sorry. I'm. I'm sorry, Karen. I'm sorry you went through this. I'm not. We're not preaching at, you know, or

[Rachel Cruze]

shaming you and other people. Let's just say that just to be aware.

[Dave Ramsey]

These are the reasons situations like yours are why we get so hyped up against some of the things that happened to you.

[Rachel Cruze]

Yep.

[Dave Ramsey]

That's what it amounts to. Wow.

[Rachel Cruze]

Karen. Call us back if you need us though.

[Dave Ramsey]

We really are help you any way we can. Create your free every dollar budget today. The simplest way to budget for your life.