Money Plan SOS: Recent Episodes
Steve Stewart
What’s it like to have no debt, no credit cards, and no credit score? It sounds like freakish existence in today’s world, but it’s what this podcast is all about.
Steve Stewart hasn’t had a single credit card or consumer debt since 2007. In 2010, he launched the Money Plan SOS podcast to share the knowledge gained while living a credit-free lifestyle. Along the way he learned about the negative effects of building a credit score and eventually found a way to be credit worthy - even without a mortgage!
The understanding you will gain from listening to the Money Plan SOS podcast is that you truly can have NO DEBT, NO CREDIT, and have NO PROBLEMS!
Listen as I walk you through the thoughts and ideas I had while going from a negative net worth to half a million in liquid assets and a paid-for house. You too can have no debt, no credit, and no problems.
Welcome! If you are new to the Money Plan SOS podcast then sit back. I’ll share with you the 20 best episodes, 10 “staple” episodes, and the 13 worst episodes. I also share my journey through money over the past two decades. The full show notes are at
200: The MoneyPlan SOS podcast is now retired with this final episode. It was recorded LIVE at FinCon15 with nine bloggers who learned about money while blogging about money. In this final episode, nine financial bloggers answer the question, "Have you learned anything about money since blogging about money?" Eric Rosenberg (Narrow Bridge Media) Emily Guy Birken (Wisebread, Book: 5 Years Before You Retire) Katie Austin (Writes for ActiveHours.com) Todd Tresidder (FinancialMentor.com) Stefanie O’Connell (The Broke and Beautiful Life) Athena Lent (Being Fabulous Has No Price Tag) Miranda Marquit (Planting Money Seeds) JD Roth (Get Rich Slowly, new blog MoneyBoss.com) Eva Baker (TeensGotCents.com) _____________________________ The MoneyPlan SOS podcast is now retired #tear This was the final episode of the Money Plan SOS podcast. Why? Somehow, I became known in the FinCon community as a podcast guru (they even gave me a shirt that said FinCon Podcast Guru on the front). This pivot into a new career allows me to help others who podcast about financial literacy topics by editing/engineering their recordings. My new home-base is Thank you for being a listener. It's been a true honor to host this show and help anyone who will listen PAY ATTENTION - NOT INTEREST!
199: Is tithing mandatory for Christians? Chris Brown and I discuss this to get to the root of the problem - which has little to do with ten percent. Chris Brown has been a pastor for several years, speaking to congregations and audiences all over the United States. Full show notes at He recently became on of Dave Ramsey's Speakers and now hosts the popular True Stewardship Podcast. In this episode, Chris and I tackle this touchy subject of tithing: • What is a tithe? • Who is called to give a tithe? • What about the "Old Testament vs New Testament" argument around giving a tithe? • Are we asked to give a tithe based on the gross or net of our paychecks? Connect with Chris Brown online: Also in this episode: Ponda from the Honda: If a Billionaire doesn't have to buy a new car then why do we? Where is MoneyPlanSOS going? The MoneyPlan SOS podcast is retiring after episode 200. You can find all my new shows at
198: OG (aka The Other Guy from Stacking Benjamins) joins me to share the 8 Great Mistakes in Investing Full show notes at The 8 Great Mistakes of Investing are: Under-diversification Over-diversification Euphoria Panic Leverage Speculating Investing for yield and not total return Cost basis dictating decision Thanks to OG for coming over. You can find him at http://StackingBenjamins.com - my favorite podcast. Also mentioned in this episode: The Great Beanie Baby Bubble by Zac Bissonnette. Amazing stuff! Here's the Stacking Benjamins affiliate link: http://amazon.com/dp/B00INIXVPW/?tag=thefreefinanc-20 __________________________________________________ Steve Stewart's Budget Coaching Course on video: __________________________________________________ Ponda from the Honda: SPEND IT ALL (sort of) __________________________________________________ Fractional and Automated Savings Accounts - are they a good idea? Deanna Richardson from Richardson Accounting and Consulting, PLLC @ asked “Have you heard of Digit? Seems like a great way to build up an emergency fund and....it says it is free. Then their are bonuses for keeping $100 in it over 3 months. If I did my math right, the bonuses are over 2.5% interest (5 cents / week per $100). Would love to hear what you think.” I tackle these new fractional, or automatic, savings accounts: Acorns, Digit and Betterment’s SmartDollar Links: ACORNS Open an account: or install the free IOS or Android app Listen to my interview with the creators of Acorns DIGIT Open an account: Testimony from Paula Pant (which kinda concerns me) BETTERMENT'S SMARTDEPOSIT Open an account: More information: ______________________________________
197: Matt Ham is an author, speaker, and small business owner. Five words uttered by a nurse changed the way he looks at life - and inspired him to redefine rich. Full notes with links at Takeaways from this interview: It’s not how much you give - it’s how you give it () We shouldn’t feel guilty to spend and, surprisingly enough, we feel richer when we give. Whole Life Matters Podcast: __________________________________ 3 important things to remember when buying a car This post first appeared on Transportation is the third largest budgeting expense for most people. Housing and taxes can consume up to half of the average American’s income, with cars sucking up between 5-20 percent - depending on number of vehicles and if the consumer is carrying auto loans. However, you can greatly reduce your vehicle costs by remembering these three things when buying a car: It’s transportation It’s a depreciating asset It’s not forever The way we get the biggest bang for our buck when we buy a car right is when we buy it outright. Pay off your current car loan quickly, save what used to be your car payment for the next one, and pay attention - not a lease payment. _____________________________________ ‘Ponda from the Honda Free chips, salsa and bread sticks. What do they have to do with rising prices at local restaurants? _____________________________________ Are you tired of paying interest? Do you want to get control of your finances? Schedule a 30 minute consultation and let me help you make informed decisions on how you spend your values
196: Jon Stein from Betterment and I discuss robo-advisors, why Betterment is so different, and what it takes to open an account. Use to receive 30 days FEE FREE investing at Betterment Full show notes at _______________________________________ M.J. Cossel wrote in about an article she read in the Dallas Morning News: Bad credit score can double insurance premiums in Texas My response: Yes. Poor credit scores equal higher insurance premiums - but that’s only one consequence of not paying bills and debts on time. Make it a priority today to get your checkbook balanced, organize your finances, and pay attention - not ___________. If you want a sure-fire way to make every dollar work harder then get on a budget
195: Do you know why stories of people with $.32 refund checks are in the news? Because they are so rare! Most people want to get a big tax refund. Getting a huge refund is an extremely inefficient use of money - both for you and for the government. I recommend adjusting your withholding so you can bring more money home and put it towards your goals: High-interest rate debt Building up reserves Saving or investing Run a mid-year income tax assessment Making course corrections in August helps steer your tax withholdings closer to the target - which is to owe nothing or get a small refund. It’s almost impossible to be exact, there are too many moving parts, but you can bring your tax-boat closer to the dock in the last few months of the year. Gather together the following items: Last year’s tax return Last year’s Schedule A (if you itemized deductions) Your last two pay stubs (include your spouse's as well) Note: If you have a small business or are an entrepreneur then you will need to run a Schedule-C calculation to estimate self-employment income. You may also want to see a tax professional. Also, you will want to estimate any: Child/Dependent Care expenses Expected bonuses Expected interest, dividends, etc I use tax preparation software to run my calculation but you could follow the prompts at the IRS website to complete a mid-year tax assessment: http://apps.irs.gov/app/withholdingcalculator/ If you expect a huge refund: You could choose to do nothing and continue giving the government more of your money, interest free, and get a huge refund April 15th. However, I recommend you increase the number of allowances on your W-4 and give it to your benefits department or HR person. They will adjust your withholding to get you closer to zero. If you would like help running this calculation then contact me and we will run through it together. Federal forms and resources mentioned in this episode: http://apps.irs.gov/app/withholdingcalculator/ http://www.irs.gov/pub/irs-pdf/fw4.pdf http://www.irs.gov/pub/irs-pdf/f1040sa.pdf http://www.irs.gov/pub/irs-pdf/f1040sc.pdf In the Ponda from the Honda segment Only 5.5 more payments to go $5 a week for 45 years at 10% growth is $228,000 See a chart in the show notes at http://SteveStewart.me/195 Try YNAB (You Need A Budget) for 34 days and receive 10% off if you keep it
194: Although he has an entrepreneur’s heart, Ace doesn’t believe anybody should start their own business. It is much easier and profitable to buy an existing business, improve it, and sell it for a profit. Full notes at Ace's book: Find Ace at: Or Twitter: ______________________________ Don't worry about your credit score. Do what's RIGHT with your money. When it is time to prove your credit worthiness call on eCredable: (free monthly membership with this code: SOS)
193: Many people are being lured by the attractiveness of directing their own retirement plans. The trick is to do it right and have an asset, business, or income-producing entity that makes sense for YOUR retirement planning. Kirk Chisholm is a Wealth Manager, Economist, & Principal at IAG. He is also an expert of investing in alternative investments in self-directed IRA / 401k. Full notes at Key takeaways from our discussion: Self-directed IRAs are a great arrangements for making non-traditional items become tax-deferred investments There is no guidance for what you can put into a self-directed IRA There are some unusual things people have turned into self-directed IRA investments A 1031 exchange is not a self-directed IRA We learn where a wealth manager fits into an individual’s self-directed IRA plan There is no certification for someone to become a self-directed IRA administrator Kirk encourages you to pick things you know well How taking one step back can make you feel a little bit richer <33:47> Stop Take a step backwards Close your eyes for 1 second Open your eyes Imagine your life 10 years ago and tell me you don’t feel just a little bit richer Ponda from the Honda <42:09> She blew $20k of college savings on clothes and a European vacation.
192: Kai used to be responsible for staffing at a firm. She knows first-hand what companies use to check on an applicant's background. While a company may check credit reports, they do not review credit scores. Once again, this is proof that the bare minimum to succeed in America is to simply pay your bills and debts on time. If you don't have any debts and don't have credit cards, you won't have a credit score. However, you will have a clean credit report - or no information for a credit report to be built upon. This does not prevent you from getting a job. UPDATE: My wife and I paid off our last debt, the home mortgage, in December 2015. Within 2 years, I no longer had a credit score. Does that mean I couldn't get a traditional job in corporate America? Of course not! Let my story be your testimony. Spend more time on your personal finances and less time trying to build your credit. In our conversation we discuss: Why Americans allow themselves to become trapped in debt How much responsibility do we place on the education system to teach children and young adults about financial literacy The truth about employers pulling credit scores or credit reports The 5 Dangers of Buying Cheap and “Splaving” For full notes, visit
191: Heather van der Hoop from ThePennyHoarder.com comes on the show to offer these suggestions for creating an income - and many of them involve stretching your boundaries as a teacher. 1. Teach English as a Second Language’ 2. Teach Abroad 3. Sell Your Lesson Plans Online 4. Work at a Summer Camp 5. Drive for Uber, Lyft or Sidecar 6. Rent Out Your Driveway 7. Rent Extra Space in Your House 8. Become a Local Tour Guide Destination Debt Freedom Alan Steinborn and Jackie Beck are spearheading this effort. They came on to explain the benefits and process for how the process works. Top 10 Financial Oxymorons I asked the Facebook Group Debt Freedom Fighters what they thought the Top 10 Financial Oxymorons were. The answers are hilarious. Full show notes can be found at
190: Jason Hartman only wants mortgage debt - and he will take out as much as he possibly can. Full show notes at Jason Hartman has been investing since he was 20 years old and learned how inflation is the enemy of home equity but the golden goose of real estate income property owners (my words, not his). We first have to understand how inflation plays into this investment strategy: Jason says he is playing the same game as governments and central banks to win the investing game.
189: Are you a Pessimist or Opportunist? Take this quiz to find out! Full notes at Topics covered in this episode: Pessimists, Opportunists, and the Half-Glass Investor Quiz How a GOOD credit score is all you need Ponda from the Honda Cool resource for your email: Wisestamp (support the show by using this link)
188: Leah Bell shares her story of growing $32k in student loan debt - and why it makes her angry! Upcoming webinars: July 1st: Get more out of your money by Spending Our Values http://MoneyPlanSOS.com/webinars June 23rd: Premium Podcast Player Showdown In this episode: Leah Bell, The Angry Grad, did what she thought everyone does: Goes to college to get a degree. What she didn’t know was her chosen major narrowed her options just before the recession of 2008. Leah is now on a mission to educate others about education. We also check in with Jason from @Phroogal on #TheRoad To Financial Wellness (first appeared on Episode 186). John Beidel, from Episode 172, wrote a really funny article about Taxes. Yes, funny. Full notes at
187: An informed consumer is a better consumer. This episode will show how Credit Cards make money from processing fees. I also give a few tips for reducing fees and a new way to send a friend money for free. Full notes at Infographic with credit and debit card statistics: How Counting Can Work Even When Budgets Aren’t Accurate: Ponda from the Honda: Fight Big Business by Cutting Up Credit Cards
186: What could be better than taking a 30-day journey across the U.S. in a van? Full notes at Jason Vitug from Phroogal is leaving for a 30 day journey throughout the U.S. to promote financial wellness. Visit http://Phroogal.com/Road to find a location near you Also: Debit cards, auto-pay, bill-pay, and checks: There are multiple ways money can come out of our accounts. It's more important than ever to balance our checking account every month. I give 7 reasons to balance your account and 3 tips to make it easier. Ponda from the Honda: There is no single "right way" to do something Did you budget your summer vacation? My Virtual Budget Course can help you prioritize spending and discover how much money you have left for your next financial goal.
185: It's impossible to be immune to card fraud, but you can reduce the opportunities of being a victim. In this episode I share steps you can take to use your Debit card responsibly and reduce the chance someone will steal your card. More information and full show notes with links can be found at
184: Identity theft is no joke - and it's on the rise! Should you pay for monitoring? Full show notes at Keith Bunn of CavusFinancialCoaching.com compared four companies to see if their services are worth the cost. Also in this episode: 'Ponda from the Honda - My mailbox is wasting a lot of energy Upcoming webinars and recent appearances Testimony from a listener who learned risk vs reward from an engineering book
183: Dave Ramsey announced his new budgeting software - EveryDollar. It is awesome - and have many similar features to YNAB (You Need A Budget). Which premium budgeting software is best for you? Let's compare the different features and methods to identify the right one for you. Also: Holla from the Impala is changing. Listen to all the reasons you shouldn't buy a car from a long distance. For more information, visit the show notes at
182: Carl Richards was a ditch-digger, fell into a securities job, became a Certified Financial Planner, then became the Sketch Guy at the New York Times by drawing financial concepts on paper napkins. He released his second book, the One Page Financial Plan, and shares with us his journey from ditch-digger to NYTimes writer. For a more complete list of notes with pictures and links, go to
181: Joseph Michael is an average guy who saw a need and is now making 6-figures helping writers solve a problem. They love to use Scrivener - an incredible writing and organization tool - but had a hard time figuring out how to use it efficiently. Enter the Scrivener Coach. Joseph doesn't work for Scrivener but came up with an easy-to-follow, step-by-step video course that takes a lot of the guesswork out of the process. I've taken the course and am using Scrivener to create my Audacity Workshop (audio editing software I've been using for almost 15 years). You can find more about Joseph and his course at or follow him on Twitter Full show notes can be read at I hope you enjoyed this April Fools Day episode.
180: The year 2015 marks the celebrates the 10th anniversary of Dan Miller's life-changing book "48 Days To The Work You Love". He joins me in a conversation about resumes, extra curricular activities, and creating your own career from nothing. Also, Debt Freedom Fighter Bob Lyons shares his success story of passing on a job opportunity, getting laid off, and then finding two companies battling for his employment - all without breaking a sweat because he was following a moneyplan. In the Holla From The Impala segment: I'll gladly pay more money if it gives me more time Read the full show notes at
179: What is BitCoin, how does it work and how can we get some? Brian Hoffman from OpenBazaar.org joins us to talk about this new payment option that will change the way we spend money - literally! Full show notes at
178: Joan Sotkin has been through market upswings and personal bankruptcies - and she sees things as opportunities, not failures. You can find out more about Joan at ProsperityPlace.com Full show notes can be read at
177: Farnoosh Torabi is known for contributing to The Today Show and Money Magazine as well starting her own podcast - So Money. But today we are having a conversation with her about her most recent book: “When She Makes More: 10 Rules for Breadwinning Women” The book is written for the working woman who earns more in the workplace than her man. While the financial nerd in me appreciates all the statistics and studies included in the book, I also think men will benefit as much by reading "When She Makes More" as their female counterparts. For more, visit Here are some of the questions Farnoosh answers during our conversation: * Are the old fashion rules of men bringing home the bacon wrong? * What do you see as the major cultural or economic shift that caused this world to change from men working outside of the home and women working at home but not in a traditional JOB? * How has this effected the family unit? * What is the first step for a couple where She Makes More do to balance the relationship and make it not so weird? * Do gender roles still play a part in a household where she makes more than her man? If you enjoyed this episode then send @Farnoosh a Tweet
176: Derek and Carrie Olsen help us discover if a marriage can survive a foreclosure. Full show notes with links at
175: The Greutmans are debt free and now employ Americans to run their small business - IAmThatLady.com. UPDATE: Lauren has launched a new business and can be found at The Browns just paid off their HOUSE! What are they most excited about? Listen to the testimonies of two families with different reasons for killing their debt - and what it has done for them. Also in this episode: Holla From The Impala - The ONLY benefit from paying interest. Read the full show notes at
174: UPDATE: Even bigger changes came since releasing this episode in 2015. In short: My business failed to grow but a new one EXPLODED in the first half of 2016. You can see what I'm doing now at _______________________________________ ORIGINAL POST: Big changes are coming my way - and yours. Listen to my plans to leave the day job, focus all my time on helping others get out of debt and build wealth. I also have a discussion with my Branding Coach, Ryan Rhoten. He's amazing and has become the most valuable resource I've ever had in my business. Take the Online Branding Assessment at Say hi to Ryan on Twitter:
173: The sign on their front door says "No Credit Cards". How can such a large chain exist without accepting credit cards? Clint Woodman, Vice President of Woodman's Food Market, shares the business side of accepting credit cards as a business and why they never have and never will accept credit cards - for the good of their customers! Also, Gary Leland talks about Stripe, a mobile and web payment option, and why he chooses to use a wireless credit card processing machine instead. For more, visit
172: Tax specialist, John Beidel, joins me in a discussion about 15 Year-end Tax Saving Tips - an article from Betterment.com. Try Betterment for 30 days when using For more information, visit the show notes at
171: New retirement contribution and income limits for 2015 have been released by the IRS. Take the Debtor's Anonymous Quiz - 15 questions to help identify compulsive debtors. The perfect credit score has been achieved. How much will it cost YOU? Instead of a segment of Holla from the Impala I present to you: Audioblog while walking the dog I was interviewed by Mint.com. Read about the Convenience Economy and my trick to keep couples at the budgeting table (and you probably have a bottle laying around) For more information, visit the show notes at
170: I'm answering listener emails: Patti emailed her concerns about "filling a void" by purchasing things she doesn't need and I answer the question "Should I pay off my $55k mortgage with savings?" For more information, visit the show notes at
169: Henry Rollins tells a debt free story. In the episode titled “10 things you don’t know about the almighty dollar” he tells a debt free story about America. It appears that Andrew Jackson was the first and only President to pay off all of America’s debt. LOVE IT! Listen to the episode for more about when America first got into debt Watch the episode here (some restrictions apply): http://www.history.com/shows/10-things-you-dont-know-about/videos/the-almighty-dollar Also on today's episode: Ignore these financial rules at your own risk Live beneath your means Do something smart with the difference Have health insurance Don’t waste time building a credit score Shop for health insurance at eHealthInsurance.com What would you do? Spend $300 to repair a 1981 clothes dryer or spend $400 on a new one? Holla from the Impala: Double your chances to get a card stolen
168: John Pugliano has more than 30 years of purposeful purchases behind him. Full show notes at His wife was able to stay home with all 6 kids while he focused on his career. He retired early and has been able to help others learn how to invest in stocks. Is living on less than you make for 3 decades worth it? Hear for yourself. Also: Holla from the Impala and a listener's testimony.
167: Is it possible to have a simple and fair solution to the US tax code? Yes, it's called the FairTax. 105 years ago the 16th Amendment was passed allowing the US Government to levy an income tax on corporations. Somewhere along the way things changed and we find ourselves buried under 74,000 pages of tax code. Which is simpler: 74,000 pages or 133? The FairTax turns our complicated system into a medium sized book. The FairTax is much simpler: No more income tax withholding No more filing taxes on April 15th No more missed deductions No more taxes on interest earned or capital gains No more unfair tax breaks No more unreported revenues No more IRS audits What the FairTax does is: Allows us to bring our entire paycheck home (minus voluntary retirement savings, health insurance, etc) Sends every person with a US address and Social Security number, regardless of citizenship, money to cover the sales tax paid on the necessities of life (food, shelter, clothing, energy, etc) Reduces the price of goods and services we buy Taxes EVERYBODY, even visitors to our country (legally or illegally) Taxes us only on new products and services we buy Funds Government programs, including THE MILITARY, Social Security and Medicare Makes US products more competitive in the global market Will increase demand for goods and services, thus creating more jobs Becomes more progressive as people who earn more, spend more For more information, visit the show notes at https://moneyplansos.com/a-simple-and-fair-solution-to-taxes-the-fairtax/
166: Listen to my debate with Joshua Sheats from Radical Personal Finance on various financial topics he deems to be dangerous to Dave Ramsey Show listeners. Links mentioned in this episode: Post: Book: Episode: Joshua's plan for For more information, visit the show notes at
165: Lisa left her job for another. She could have rolled her old 401k into the new plan, but she wanted more options. Full show notes and resources at What should I do with my old 401k? Lisa Emperador is a young professional who changed jobs after accumulating $8,000 in her old 401(k). She had several options for what to do with the money. Lisa has a bunch of debt and could have cashed it out to pay down a car loan or credit card debt. Instead, she chose to roll it into a ROTH IRA managed through Betterment. Was this the best option? Listen to the interview to find out if she regrets the move or is happy with her choice. What would you do? Thank you for listening. Keep fighting your debt!
164: Even though FICO is celebrating 25 years as a publicly traded company, this is their very first audio interview. We are going to hammer out the clear and correct information about FICO and the credit scoring industry. Anthony Sprauve, Director of Public Relations at FICO, tells us the truth about: How FICO is able to capture our data from credit card companies, auto loans, student loans, etc. The relationship FICO has with the big three credit score bureaus: Experian, Equifax, and Transunion Which score is the real score? What is FICO 9 and how will it change someone's score? Is there an imbalance between evaluating the everyday American's score and someone who doesn't use debt products (Debt Freedom Fighters)? When will FICO begin using non-debt payments in the credit score? For more information, visit the show notes at
163: Rey Brown explains how the cell phone industry works and gives suggestions for saving money on a new plan. A full list of resources can be found at
162: Tom Corley, author of Rich Habits, releases his new book Rich Kids. What are 5 activities that will guarantee your kids will avoid a life of poverty? What are the three paths to wealth? Are sports better than after-school activities? Listen to the show and find out. Much more information can be found at
161: What if you could invest your loose change at the end of the day? Now you can with Acorns. Acorns is an app taking advantage of new technologies and less expensive investment fees to allow anyone to start investing in ETFs from Blackrock, Vanguard and PIMCO. ________ Take the #100challenge in September 2014. See how fast you can save or earn $100 more. Then apply the money to your next goal: Emergency Fund Pay down debt Car replacement fund Save for Christmas Etc... Share your progress and WINS by using the hashtag #100challenge For more information, visit the show notes at
160: You can't turn on the TV or have a conversation with someone about money without the subject of credit scores coming up. With all that awareness you would think that everyone would have a basic understanding of how credit works. Unfortunately, there is a lot of miss-information being spread around. There are many myths surrounding the credit score; believing these myths can not only wreck your finances, but keep you from reaching your financial goals. For more information, visit the show notes at The five biggest myths about credit scores Myth #1 - You have to carry a balance to have a good credit score This is a dangerous myth that gives people an excuse to keep their debts. The five credit score factors (payment history, amount owed, length of credit history, new credit, and types of debt) are all about how well you “manage” debt. If you pull your credit report there is nothing about how you manage your normal bills (electric, cell phone, rent), unless you are late on those payments. Myth #2 - The credit scoring system is a government run program The government has nothing to do with credit scores! Can you imagine the chaos?! Credit scores are monitored and reported by publicly and privately held companies that turn a profit. Myth #3 - You need a credit score to rent an apartment Rent payments do not show up on your credit score, why should you need a credit score to rent? Some apartment complexes will only look at your credit history when considering you as a tenant. Others will pull a background check and pull your credit report to look for negative information. There is no rule or law that you must have a credit score in order to rent. Myth #4 - A good credit score will help you build wealth A credit score is based on debt, debt products and the ability to pay back the debt. It won’t help you build wealth, but it can help you get a better interest rate on even more debt. Myth #5 - The more you borrow, the better your score To a point, this is true. But the credit score is based on ratios of available credit vs. balance owed plus payment history. By borrowing too much you can tip that scale and cause the credit score to drop. This is why many people say that you should use a credit card but just pay it off at the end of the month. If we simply avoid debt in the first place, we can use that money to save and invest. These goals are much easier to accomplish when you don’t have the extra weight of debt hanging around. Call to Action Base your financial decisions on long term goals. Don’t get distracted by the lure of a good credit score. Remember that a credit score is based on debt and debt products. To be financially fit we need to consume less, save more, and pay attention - not interest. Also on the show My friend and past podcast guest, , accepted the ALS Ice Bucket Challenge.
159: The first 6 steps to buying a cash car are laid out by James Kinson, the Cash Car Convert. He helps everyday Americans kick auto debt to the curb and make smart buying decisions when it comes to automobiles. For more information, visit the show notes at
158: It is inevitable: Your debit card will be compromised some day. What happens when my debit card is stolen? Money will be taken out of your account Your bank may call you or you must call your bank when you find out The Zero Liability Policy will kick in The money will be returned to your account in short order Any insufficient fund charges will be removed by your bank You will be inconvenienced In this episode five individuals share the experiences of when their card(s) were compromised. How to prepare for a stolen debit card: Here's what to do
157: How was John Lee Dumas able to start Entrepreneur On Fire without ANY income for 9 months? John tells us how in this exclusive interview about how successful people spend money. Also, Suze Orman's Preferred Debit Card is no more and PerkStreet customers get money in the mail! For more information, visit the show notes at
156: Would you like to know how we paid for our vacation at a horse ranch without credit cards? It’s easy: We prepaid for our travel expenses with a debit card, prepaid for the week at a horse ranch by check, and paid cash for the rest. Oh, and we saved more than $160 by staying away from credit cards. In this episode I break down the different ways to pay for things like rental cars, souvenirs, and hotels - no credit cards necessary. The reason I stay away from credit cards will become evident when you hear our story of paying for the horse ranch. It is proof that plastic is more expensive than cash or check, we just don’t realize it is. Here is 7 minutes of beautiful horses crossing a river of melted mountain snow Read more at
155: How much attention do you really need to give to managing personal finances? Here are 10 ways we pay attention to our money - and most of it doesn't involve a lot of time: Always: Check remaining budget balances before spending. Daily: Enter transactions into your checkbook/software/ Monthly: Balance checkbook/ Monthly: Set up budget (again, we use ) Quarterly: Review investments and retirement plans Annually: Rebalance portfolios and contribution amounts Annually: Reassess emergency fund balances Tax Season: Review "giving" categories Occasionally: Think of money-saving ideas as they come up (cell phone, irregular purchases, etc) Life Events: Health, Car, and Life Insurance annually or when there is a life event (job change, new vehicle, pay raise, etc…) Have I left anything out? Leave me a note at
154: It had been a hectic morning. I recorded two interviews before leaving for the airport but I made it to the terminal with plenty of time. About 100 passengers ahead of me were being rushed as their flights were affected by weather but I had plenty of time. No reason to panic - I've done this dozens of times: Print boarding pass Check a suitcase Head towards security Have ID and boarding pass ready Take out any liquids, aerosols or gels Take everything out of my pockets Place my shoes on the conveyor belt Unzip my laptop bag and pull out my..................... WAIT! WHERE IS MY LAPTOP?! The spot where my MacBook is stored was empty. Did someone steal it when I wasn't looking? All my recordings and videos that I was going to work on, did I have a sufficient backup for all my recordings? What about all my pictures? I texted my wife: "URGENT: Go to my office. Is my laptop there?" She replied and my heart instantly sighed - I had left it on my desk. DOH! Being distracted sucks I was so scatterbrained that I left one of my most important pieces of gear at home - my MacBook Pro. I was going to work on my How To Use ScreenFlow course and record this week's podcast during the down times. #ChangeOfPlans Psyblog's article delivered to my inbox I had to rely on my iPhone to stay sane by being productive while waiting for the plane. I checked my favorite apps: Twitter, Facebook, ...and then my email where I found this clever and timely post by PsyBlog: "" I wish I had read this last night. PsyBlog tells us the 10 ways to improve our focus and attention. Many of them work for personal finance as well. Click the play button to hear more about this post [powerpress] 1. Take a break: We can only concentrate efficiently for a certain period of time 2. Chunk it: Break your tasks into smaller, manageable chunks. 3. Ditch the multitasking: It doesn't really work 4. Environment: Some people like busy cafes, others like libraries. 5. Try nature: Studies show that greater focus could be outside 6. Deal with interruptions (and track them) 7. Meditate: 8. Take a breath: Clear your mind and focus on the one thing you never have to think about 9. Sleep (my favorite): Sleep rejuvenates attention 10. Find flow: Some would call this "getting in the zone" How attention affects your cash flow When you focus all your attention on one thing you are more likely to succeed. Give up and you won't become the last man standing. Pour yourself into a project and you will likely notice more of the nuances and details while getting to know the subject matter better than anyone else - giving you an edge over the competition and making you the expert. When it comes to personal finances: It's the same thing. If you want to get out of debt then develop a plan, track the interruptions, place yourself in the right environment (like staying out of the malls and cooking at home instead), break your goal of getting out of debt into smaller pieces like Dave Ramsey's Baby Steps, and then meditate, breath, and sleep. After a while you will find flow (cashflow). You'll remain motivated, stretch your skills to the limits but not too far, and by using a budget you will get immediate feedback on how you are doing! For more information, visit the show notes at
153: 3 Debt Elimination Strategies that WORK! Any one of these debt elimination plans will work if you work the plan: Debt Snowball: Pay extra on the debt with the smallest balance. Debt Avalanche: Pay extra on the debt with the highest interest rate. Risk Reduction: Pay extra on the debt with the most risk. This could be back taxes or a loan from your mother (you don’t want to risk the relationship, do you?) Pros and cons: Debt Snowball: You pay more interest than the Debt Avalanche. However, getting a shot of QuickWin has been scientifically proven to keep people motivated to keep working the plan to the end. Debt Avalanche: You pay less interest overall. However, working on a 21% interest rate credit card for over a year tends to wear on a person’s psyche. We begin to believe the process doesn’t work and we quit. Risk Reduction: Taking care of IRS debt first eliminates the possibility of them garnishing your wages (no court process needed). Or you may decide to pay off your parents because the stress of the situation is eating away at you. These cases are not as common (most parents are a bit more forgiving than that) so the benefits aren’t as great as the Debt Snowball or Avalanche. Arm yourself with reminders When we were in debt I would get a punch in the gut every time a statement showed up in the mailbox. Constant reminders wear on us and we become more likely to quit. It is important to stay focused and motivated in our moneyplan. We need to continue stretching every dollar and keep grasping at any opportunity to make more money to throw at our debt. Credit card companies benefit whenever we take our foot off the gas, so we must stick to the plan! Arm yourself with tools to help keep you encouraged throughout the process. Smartphone apps like ReadyForZero send you reminders and encouraging messages. Progress thermometers on the refrigerator or bathroom mirror let you check in on your current status. Finding ways to pay attention will go a long way in your debt elimination process. For example: I look at our mortgage balance a few times a month. Anytime I log onto our bank account to balance our checkbook, I see it. I look at our debt payoff spreadsheet once in a while, just to get my blood pumping. And, of course, I see the new balance at the first of every month after our payment is made. I’ve got my eye on the goal and focused on winning. Above all else: DON’T QUIT Evaluate your situation. Choose the method that works best for you. Above all things - DON’T QUIT! If you want to try one and then switch - go ahead. If the Debt Avalanche isn’t working for you then start attacking your smallest balance first. Everyone’s financial situation is different, so is their debt elimination strategy. The bank has a plan for your money. It’s time to short-circuit that plan and start paying attention, not interest! Also on this episode: Holla From The Impala - It's awesome to get paid For more information, visit the show notes at
152: Rachel Cruze is a speaker, debt-free evangelist, part-time co-host of the Dave Ramsey show, known for being the inspiration behind the book “Careless at the Carnival”, and is soon to be a NYTimes best selling author for a book to be released on April 22, 2014 - Smart Money Smart Kids. MoneyPlan SOS listeners wanted to know what she thought about these questions: Chris Pilon from Dadrenaline podcast: Aside from not paying commission, what did your parents do when you or Denise or Daniel did not do their chores? Karen Austin posted on Facebook: We have 8 year old twins and they earn money for household chores. We've been heavily focused on savings plus tithing, but feel we need to let them spend a little. Did Dave let you have spending money? Was it a percentage of what she earned? Garnet Eldred (who shares the same birthday as me) asked: What does she use her 'blow' money on? Stephanie Reed wants to know: When did she start her own budget? And did her parents make her buy her own clothes and toiletries, etc. to help her learn how to budget before she left the nest? If so, what did she think of it and what would she change? Josh Levitt: We all struggle keeping up with the budget, not over spending or some aspect of being financially Smart. What is the toughest part of "sticking to the plan" for you personally? Kim Nice had a bunch of questions, but I only had time for one: What kind of vacations do you go on? Jen McDonough (aka: @TheIronJen): Do you see entitlement in the younger generation as being more or less than the parental generation? Scott Maderer: What is the Number 1 piece of advice you’d give for raising kids that will become great ADULTS? Special thanks to @MrJoshuaBrown and ArunWisconsin for the 5-star iTunes reviews. Your next money challenge: Find as many opportunities to show your kids how you SAVE money. The ratio for how many times my daughter sees us spend money to save money is about 1,000 to 1. There are many more opportunities for her to see us pay for something but she never gets to see the money going into our bank account, mutual funds, or 401(k). Some suggestions: Put coins in a piggy bank (I have a coin jar) Take physical dollars to the bank Have them click "send" for your mutual fund or online savings account For more information, visit the show notes at
151: Kraig Mathias began his journey to debt freedom after blowing the engine on his car on a cross-country road trip. We geek out over the math behind his car debt, then get inspired from his journey from debt freedom to creating independence. You can find more about Kraig at Money tips: Save tons of interest by spending a little more on insurance Leave the plastic at home, even the debit card, for one Saturday. Just try it. For more information, visit the show notes at
HAPPY APRIL FOOLS DAY! I'm not here in this episode - I've commandeered three other shows that are not my own. Here's where I am today: where I turn the tables on Jared Easley and interview him on his own show! On the (usually by James Kinson) I talk about getting out of the car payment business. While Joe is in taking over my show I am also taking over the . You can click on any of the links above for their (or should I say “my”) shows. If you would like to read the backstory of why I took over 3 shows in one day and why I'd NEVER do it again, . Never has the show brought on more guests, more topics, and more laughs in the show. There were so many people on this show that there wasn't enough room for Steve. What you will get from this show Pirates take over the show. Arggggggghh Average Joe Money and OG talk about The Roundtable talks about Groupon and Living Social: Are online deals a good deal? And finally, a classic Top 5 list. Top 5 ways to pay off your mortgage early OG's Top 5: 5) Don't take out a mortgage so big to begin with 4) Refinance to a lower interest rate 3) Round up your monthly payments 2) Make a 13th payment every year (extra payment) 1) Sliced fruit (just kidding). It's "Get a 15 year mortgage" Average Joe's Top 5: 5) Shorten the term of your mortgage 4) Use your tax refund to pay down your mortgage 3) Round up your monthly payments, don't round down 2) Switch to bi-weekly payments 1) Place your extra money in an S&P 500 mutual fund, then apply it when the mortgage reaches the amount invested Cast members for Episode 150: Special thanks to the following cast members who made this April Fools Day podcast hilarious (in order of appearance): Average Joe Money from OG from Paula Pant from Len Penzo from Miranda Marquit from Disclaimer Steve Stewart does not agree with the Roundtable's advice of opening up a credit card for free airline tickets - regardless of paying them off every month or not. These "free" tickets or cash-back rewards are being paid for by the credit card company who in turn gets the money from those who do not pay off their balances, do not make their payments on time, or are over their limits. Be responsible for yourself AND your Brothers. For more information, visit the show notes at
149: People love their credit cards. Why? They aren’t valuable. They can’t be traded or sold. And they cost people a lot of money and often their freedom. I’ve been separated from my credit cards for over seven years and can tell you: I don’t miss them a bit. Now that I’m coaching people through their debt problems I get to hear all the same lies I used to say that justified my reason for keeping the plastic crutches. Here are some of the lies people tell themselves so they can keep their credit cards? “I only use my card for things I’m already going to buy anyway.” “I only use this card for the points.” “My credit card interest rate is blah blah blah.” and more. For more information, visit the show notes at
148: The Daily Success Habits of Wealthy Individuals. Tom Corley joins me for a discussion about the habits of the rich. We also learn the 4 things that can make you un-fireable. A short list of Rich Habits: Tom Corley published a number of Rich Habits, which you can find here: The ones that took me buy surprise were: What Wealthy people do before work Habits of the Wealthy during the workday: Gossip is a Poor Habit FOUR STRATEGIES TO BECOMING "UN-FIREABLE" To read more about the Rich Habits and strategies to becoming "Un-fireable", go to
147: A new study released by FINRA reveals only 18% of millennials are able to correctly answer 4 out of 5 questions about finance. Links mentioned in the show: FINRA releases results of study: http://www.finra.org/Newsroom/NewsReleases/2014/P456463 Take the quiz yourself by following this link: http://www.usfinancialcapability.org/quiz.php The national average is 2.88 out of 5. How will did you do? Listen to the podcast for the answers. For more information, visit the show notes at
146: Mitch Anthony joins me in a discussion about redefining retirement. His book, , helps us understand this relatively new word. Resources can be found at
145: Money can cause us to experience a large number of unnecessary anxieties. A number of things can help alleviate a majority of worries when it comes to money and finances. In this episode I give you five ways to reduce financial stress and make you feel more powerful, confident, and in control: Have $5,000 in the bank Automatically save money into a retirement plan Have a Will Rent or live in a paid-for house Carry a $100 bill in your wallet For more information, visit the show notes at
144: The sole benefit of Federal form Schedule A is to give us the opportunity to keep more of our hard-earned money. These are commonly referred to as “itemized deductions.” These are the tax deductions you want, and 3 you don’t. For the list as well as links to Federal tax forms visit
143: What happens to my credit score after paying off debt? In this episode I share survey results that show debt-free people aren't worried about their credit score. FICO says what's in your credit score FICO says your credit score is based on the length of credit, new debt, the variety of debts, how much debt you owe, and your payment history on debts. In short, you need to borrow money for a long time. More than likely you will end up paying interest. I'd rather be paid interest than paying it. What is not included in your credit score What is not included in a credit score is your age, sex, religion, and where you live. These things are left out due to consumer protection laws that were passed to keep lenders from being biased or discriminatory. The problem with a traditional credit score is that it is selective on what to include in the calculation of your credit score and is not a fair representation of your full financial picture. Why wouldn't these things be included when calculating your ability to repay a loan? How long you have been with your current employer How much you make How much you having in savings How much you have in assets that you own Your payment history on non-debt items like rent, cell phone, or your cable bill FICO is not supposed to factor those things in but those who promote "building your credit score" make it sound as if the credit score is the most important thing you should concentrate on. I disagree. It is a distraction. Results from my debt free survey I asked individuals to respond to a quick 8 question survey: Of the 83 Respondents 66 Married (80%) 1 Widowed 6 Divorced 10 never married 100% have been approved for a credit card. No surprise there. 11 of 83 respondents (13%) never taken out a car loan. 77% (64 respondents) say they do not have any outstanding consumer debt, 26 are completely debt free. Of the 26 completely debt free respondents, 9 stated their debt free date was over 5 years ago. All of them had a score greater than 700 except for 1 who said his score was ZERO. Only 2 of the 83 respondents who have paid off all their consumer debt indicated their score was 699 or less. Are they worried about their credit score? 8 of the 9 replied “No” to being concerned about their credit score and two of them actually responded with “Not At All” concerned. Only one was concerned about his Property and Casualty insurance rate being effected by a non-existent score. As I explain in the podcast recording, this really shouldn't be a reason to stay in debt or build your credit score. [Tweet "People who get out of debt do not care about their credit scores"] Why should they? They don't need a score to tell them they are winning with money. Other credit score promoted excuses: I need a score to rent an apartment: Devin Czech asked landlords if he could rent from them even though he doesn't have a credit score or credit history. The responses are very encouraging: Employers look at credit scores: An employer can pull your credit history before offering you a position in their company. However, if they use your SCORE as a determining factor then I would question their hiring practices. I would further go to say any employer who does not hire someone simply because they don't have a credit history is not a very good employer. Yes, bad credit is an indication of past financial problems but having no credit history is an indication that you've stayed out of debt and are financially responsible. Who wouldn't want to hire you? The bottom line? Losing your credit score is a good thing Your score will drop or disappear when you pay off debt. There are alternatives to qualifying for a home loan using services like (use promo code for a free membership). The everyday American is the lowest common denominator when it comes to knowledge about credit scores - and they are the target as well. For more information, visit the show notes at
142: This 17 year old has got some sense! Eva Baker started a personal finance blog at http://TeensGotCents.com and is learning a lot about how money really works. This will benefit her greatly when she strikes out in this world and makes her mark. Eva tells the story of how she started a personal finance blog at age 16, how she budgets her money with a basic envelope system, and then speaks from her own personal experiences about why having a simple plan and broad goals is key for any teenager to be prepared for adulthood. For more information, visit the show notes at
141: Before starting our debt-free journey we had $176,000 in retirement accounts but our net worth was only $74,000. What’s the secret that doubled our net worth in 8 years? We followed Dave Ramsey’s advice: We got on a budget We stopped borrowing money We paid off all of our consumer debt We put 3 months worth of expenses in emergency savings We increased our retirement contributions once we got out of debt Our plan has us saving for our daughter’s future at least six more years We continue to pay down our mortgage and put money aside for car replacement, new windows, etc. Find the full show notes at
140: Wendy had her credit card debt discharged when a collector broke the law. You have rights under the Fair Debt Collection Practices Act. Listen to Wendy's story and how she was legally able to discharge a debt she owed. For more information, visit the show notes at
UPDATE: I didn't quite make it in 2014. Listen to my goals from 2 years prior to going pro with Financial Coaching. Full list of resources at
138: Are you covered by Health Insurance? It's the law, at least it will be in 2014. Medi-Share is a faith-based option that complies with the Affordable Care Act. Tony Meggs is the President and CEO of Christian Care Ministries. One of the best things they do is help Christians pay each other's medical bills through a third-party system that is pretty amazing. For more information, visit the resources in the show notes at
137: Paying attention to our money, physical health, career, family, etc. allows us to reach our goals. Paying attention can be more important than talent and is second only to desire. Why paying attention is so important: Paying attention identifies where we are Paying attention shows us where the goal is Paying attention is the enemy of distractions Identifying where we are is the first step in setting a course towards the finish line. By focusing our attention on the goal we can easily ignore unnecessary distractions like water cooler conversations and Facebook updates. Paying attention is essential to winning. Major benefits of paying attention: Exposes problems and deficiencies Reveals opportunities Measures progress As an older guy with a wife that loves to cook, I have been the benefactor of many wonderful meals. My bathroom scale hasn’t gone below 230 for a few years and diets don’t motivate me. A listener of my podcast shared his success story of using an iPhone app to lose over 130 lbs. I doubted an app could really help me but decided to try it anyway. MyFitnessPal is a calorie counter that tells me I should eat less than 1,900 calories a day. I fail to reach that goal 9 out of 10 times. However, I still lost 10 lbs. in 2 months with very little sacrifice simply by tracking everything I consumed. How? I couldn’t tell you how much extra food I was shoving into my mouth before installing the app but once I started paying attention I was able to make better menu choices with lower calorie counts. Guess what? Budgets work the same way. Pay attention to the numbers in your budget and you will likely spend less than if you didn’t pay attention at all. Paying attention is more important than talent Talent is overrated. We look at actresses, athletes, and Oprah and think God gave them more from the “skills” pile than we did. That just isn’t true. Racecar drivers, bodybuilders and even John Lee Dumas didn’t become great until they spent hours practicing, building muscle, and focusing on their goal. Talent is nothing without attention. Even those with no talent are able to become successful. Can you say “Kardashian?” The only reason we know that name is because of all the attention the media is paying them. We can all agree that water is refreshing, non-toxic, and life sustaining. It’s harmless in a motionless state. However, run water over your hands and you can wash away dirt. Place your thumb over the end of a garden hose and it turns into a small power-washer. Concentrate enough water into a very small stream under pressure and you can cut through steel. The tortoise didn’t have racing talent; he just paid attention to the goal more than the hare. By focusing our attention we can achieve unbelievable things, even with little talent. Paying attention is second only to desire Desire is what feeds our spirit Desire gives us purpose Desire will keep someone from quitting Desire draws us closer to who we truly want to be. It gives us purpose and a reason to become productive members of society. Desire can also drive you to beat the odds. It caused Thomas Edison to continue working on the light bulb after thousands of failed attempts. It is what turned former prison inmate Nelson Mandela into the President of his country. It is what fueled Erik Bendl’s walk across the country with only a backpack, his dog Nice, and a 5-foot globe. Desire keeps us from quitting before we reach the finish line. The cost of paying attention For some people, it’s easy to set their mind to a task and not become distracted. I wish it were that easy for me. Paying attention takes a lot of mental energy and wears me out. That’s both a good and a bad thing. I’m usually exhausted after paying attention for some period of time but also energized by accomplishing some goal or making progress on a task. Other costs of paying attention may include Shifting our priorities to make positive change Quitting certain things we are used to doing habitually Getting flack from friends and relatives who see us doing things differently I believe paying attention is the most expensive daily activity that will also return the greatest dividends over time. Marathon runners and IronMan contestants train for months, sometimes years, in order to compete for a couple hours in one day. That’s dedication. That’s paying a price. That’s paying attention to what is important to you. For more information, visit the show notes at
136: Over the past year I have received calls and messages from adult children who are concerned for their parent’s finances. Papa has been working hard for decades and Mama was promised that she would never have to work outside of the home again. Papa has been stripped of any financial responsibilities because he wrote some bad checks years ago. Mama took over the household finances since then but has a problem with over-consumption. As a result they have more debt than they have money saved. They have no idea what retirement is going to look like when Papa turns 65. How do you talk to your parents about their money problems? When visiting with aging parents this holiday season, look for signals or cues for the inroads to talk with your parents about their money problems. It’s not comfortable, it certainly won’t be fun, but you want what is best for your parents. Your best bet is to follow the do’s and don’ts of how to talk to parents about their money problems. Do’s: Continue finding opportunities to bring up what you have learned. Be a real-life testimony for your parents to learn from. Blame the CULTURE for all “easy credit” and for removing the stigma of maintaining tons of debt. This is an “I understand your difficulties, Mom and Dad” point-of-view and it might bring them closer to realizing the problem. Encourage your Dad through this difficult time. He is the best chance of making an “inroad” for change in your Mom. Ask them “What are you going to do when Dad stops working”? (Things that make you go hmmmmm) Ask them “What did your parents do when retiring with very little money”? Don’ts: Don’t EVER say “Dave Ramsey says” unless grandmama listens to his radio show herself. Don’t EVER sit quietly by when the word “bankruptcy” is spoken. This is a great time to speak up and preach about personal responsibility. Don’t EVER give them money without a requirement for change or you will discover the $100 electric bill you paid for your mom is exactly the same amount she spent at the department store the next day. These suggestions may not solve the problem but they will open the doors for opportunities to help. Giving up on them would be disrespectful, even if they tell you to buzz off and mind your own business! Be patient and remain alert for any opportunities that might help your parents pay attention, not interest. For more information, visit the show notes at
135: Credit cards are against my religion. I shared my beliefs in a webinar on October 3rd. Only a handful of people have watched the video, which I understand; it was an hour long and you have better things to do. But there are other reasons I am bringing this message to you in podcast form today: The Devil doesn’t want you to hear this - credit cards are against my religion. The Devil is at work There have been quite a few challenges trying to get this message to you: 1. There were technical difficulties during original Webinar 2. I’ve had some personal ones to overcome 3. The delivery system you get this show on in iTunes was not working (with no reason why). Considering iTunes is still the majority of the MPSOS audience, I take that as an assault on stopping me from giving you this week’s message. Are Credit Cards evil? No, they are not evil. Electronic payment options are an advance in technology. Just as computers and eye glasses and even the fork was an advancement in technology, electronic payments are a technological progression. This is not the reason I believe credit cards are against my religion. The problem with Credit Cards People “overexpend” themselves and now they are paying interest. For those who pay off each month there is still evidence that they will spend more than if they pay with cash. There’s no visible boundary and the human condition is to get what we want instantly. This leads to impulse purchases and the “I want it now” syndrome. There is less accountability when spouses have their own cards Do you and your spouse have separate checking accounts? Yes? If so, is it the most efficient way to manage your household’s income? Making the claim that your separate account system is working just as well as a couple who has to share the same checking account with 2 debit cards and/or cash envelope system is lying to yourself. This is also true of having “His and Hers” credit cards on different accounts. Making the decision, and forcing yourselves to comply, to have one single place where all the money is divvied-up is more efficient because both partners have someone to hold themselves accountable to. One person will feel they “deserve” something and spend more than they would otherwise. Then when the other finds out they feel justified to buy themselves something nice and the cycle continues. Money fights and money problems are the number one cause of divorce The Credit card topic is the one battlefield where spouses can rally together and easily conquer the enemy of overspending and debt. There they find the strength to fight the other money problems like huge student loan debts or medical bills. Avoiding the problems caused by credit cards is an easy battle to win when fighting 6-digit Sally Mae loans or escalating medical bills. Work together in one account with 2 debit cards for the good of your household. If this has shined a light on why you and your spouse can’t seem to get ahead with your finances then good. We are leading up to the reason why credit cards are against my religion. Credit cards lead to false goals I want you to answer this question out loud. If you are streaming the show via Stitcher in a coffee shop or driving to work or walking the dog, answer this question verbally: What are the benefits of using a credit card? Did you say any of the following? • You need a credit card for travel • Possible discounts on purchases • I get to use other people’s money (OPM) • Debit cards aren’t safe • I get rewards or cash back Which of these lead to accomplishing financial goals? None of them. The barely help you get ahead when accompanied by the “overexpending” that goes on while using credit cards. Also, many of them are no longer true. Listen to the episode for details. More profit for credit card companies increases credit card offers being sent to your neighbor’s mailbox. The result is more money being taken away from your community via Swipe Fees, and you aren’t able to spend as much time (or money) building God’s kingdom. Jesus died to pay my debts so why should I be indebted to someone else? Call to action: Stop using your credit cards for 3 months and use cash or Debit instead. Take money away from big banks that have no effect on your local economy but harm your neighbors. For more information, visit the show notes at
134: Thomas Stanley found several common denominators when he studied the wealth. Extras: In this episode I feature some of the conversations I had with Pat Flynn from SmartPassiveIncome.com and Dustin Hartzler from YourWebsiteEngineer.com. Good stuff! For more about being wealthy, check out the resources in the show notes at
133: The holidays are upon us. The year is almost over. Like it or not, the winter season is in full gear and more money changes hands in December than at any other time. It’s also the best time of the year. College students come home for the holidays, relatives send well-wishes in the form of [See more at ]
132: How To Pay for Things With Cash: An FPU Graduate's Testimony Financial Peace University is a 9-week course taught on DVD by nationally syndicated radio host Dave Ramsey. The class covers everything from how to control spending with a budget to real estate and investing for retirement. Millions of families have taken this course and [...] The post appeared first on .
131: It takes a lifetime to learn how money works. With the speed of change, the creation of new financial products and an overabundance of data that can be reached simply by tapping on your iPhone, you would think there are many things I was taught about finances that no longer apply today. For more information, visit the show notes at
130: The greatest tool that lets us live on less than we make is an option that has been around for ages: CASH. And it's not going away any time soon. The awesome benefits of paying with cash will make your budget go farther... Read more at
129: LIVE from the FinCon Expo - find out if you know more about money and investing than financial bloggers. This show was recorded live at #FinCon13 in St. Louis on October 19, 2013. Personal Finance Bloggers competed for prizes by answering a variety of money-based trivia, filling in the blanks, and competing head-to-head in [...] The post appeared first on .
128: Bob Lotich, Founder of ChristianPF.com (now Seedtime.com), has been a customer of Medi-Share for over four years. He shares the moments when he used them and how much Medi-Share saved him money when he broke his hand. What is Medi-share Medi-Share is a healthcare sharing program, also known as a "Christian Care Medical Sharing" program, where participants [See More at
127: Where should I save my emergency fund? Should I begin with investing or put money away for my kids? These are the questions of a young couple that wanted to make sure they were saving money in the right places. This episode will give you a clear picture of how your extra money should trickle-down [...] The post appeared first on .
126: How To Get Away From Credit Card Debt Forever. These 4 Steps slowly weens you away from your dependency on credit cards. The old rules about credit cards no longer exist How long have we been hearing that debit cards are not as safe as credit cards? How many years has Suze Orman scared us [...] The post appeared first on .
125: God wants you to be rich. How do I know? Because Jesus died to pay our debts - so at least we all get to start with a net worth of zero! Also, Jesus also told us the Parable of the Talents. It's a story of a rich man that went away and left a [read more at ]
124: There are 4 steps to help make smart purchasing decisions. Being responsible with your money is very important when trying to get out of debt. We all want our money to go as far as it can and wasting money isn't being responsible money managers. The better we use our money the more we have to [...] The post appeared first on .
123: CBS news reported that 76% of American households are living paycheck to paycheck. Less than half have three months of worth savings. We are sending our kids to college with no money and over a trillion dollars of outstanding student loan debt. Normal in America is being broke. It's time to get weird.It's time to stop managing our [...] The post appeared first on .
122: What does it take to retire early? Saving a ton of money now and/or building a business that will provide you with a stream of income are two ways to make it happen! The DividendMantra, Jason Fieber, and Kraig Mathias from YoungCheapLiving.com share their stories with us. Saving for retirement in non-retirement options Jason and [...] The post appeared first on .
121: Equifax got sued, Jeff Rose talks about his new book "Soldier of Finance", and there's not such thing as a free lunch. Jeff Rose is on a Roll Jeff and his blogger-wife Mandy have just released a new podcast geared towards bloggers and online marketers. It is dedicated to giving you tips, strategies and success [...] The post appeared first on .
120: PerkStreet closed its doors in 2013. Listen to an exclusive interview with PerksStreet CEO, Dan O'Malley about what happened to PerkStreet, what happens to our money, and what about the Perks? One of my soldiers is down: PerkStreet was that final ammunition that proved you don't need a credit card to exist and prosper in America [See more at
119: Our culture is so material-driven that it keeps many of us in jobs we hate, stressed out to the point that it is unhealthy, and disconnected from our own families. The position of “Stay At Home Mom” has been eliminated in order to achieve the “American Dream”. When we get out of high school and [...] Find out more by visiting
118: The Wall Street Journal released an article that shows the average 3 hour major league baseball game averages only 18 minutes of actual actions. That means there is absolutely nothing happening 90 percent of the time. Those 18 minutes contain all the real action and the real big plays often last less than 30 seconds. [...] For more information, go to
117: Dave Ramsey's 7th Baby Step is to Build Wealth and Give. If you've been following each step then you have absolutely no debt, even the house, and you have more than three months worth of expenses in savings. I believe there is more to BS7 and it should be renamed Build Wealth and Leave a [...] The post appeared first on .
116: Paying off the house early is Dave Ramsey's Baby Step #6 UPDATE: We paid our house off in December 2015. Why should you pay off the house early? Owning a home free-and-clear means you don't pay rent or a monthly mortgage payment - you have no obligations on for the place [...] The post appeared first on .
115: Special guest Rachel Cruze discusses ways to pay for kid's college as we talk about Dave Ramsey's Baby Step 5. Baby Step #5 is to save for kid's college. Once we have gotten ourselves out of debt and started to save 15% in retirement it is time to save for our children's higher education. College expenses have [...] The post appeared first on .
114: Dave Ramsey's 4th Baby Step is to invest 15% for retirement. This brings you half way through a complete Total Money Makeover - and the rest is pretty easy. Baby Step 4: The Easiest Baby Step Dave Ramsey’s BS4 is to invest 15% for retirement
113: Baby Step 3: Save 3-6 Months Of Expenses. Dave Ramsey's third Baby Step is to create a fully-funded emergency fund equal to three to six times your average monthly expenses. Why? Emergencies come in many shapes and sizes Car troubles (repairs, accidents, and what I call "beater replacement") House repairs (roof, HV/AC, fence damage) Unemployment [...] The post appeared first on .
112: This is Week 2 in the 7 week series of Dave Ramsey's Baby Steps to Financial Peace. Last week I talked briefly about Baby Step 1: Build a $1,000 starter emergency fund. Baby Step #2 is to pay off all consumer debt using the Debt Snowball Method. Why is The Debt Snowball in Baby Step 2? [...] The post appeared first on .
111: From ELP to El Machete, Andres Gutierrez is the voice of Financial Peace for the Hispanic community. Andres has been helping people with their finances for the past decade but it wasn't until 2009 that he became "The Hispanic Dave Ramsey" with his own syndicated radio show and a 6 DVD series that teaches Financial Peace [...] The post appeared first on .
110: What are the top 10 financial products debt free people must have? Over the past 50 years our society has invented thousands of financial products: Credit cards, hedge funds, and the inappropriately named "FreeCreditReport.com". The most marketed category of products today, the ones we are the most familiar with and are told we can't live [See More at
109: Dave Ramsey Tweeted "Saving 100 dollars per month from age 25 to age 65 at 12 percent growth will turn into 1.176 million dollars This Tweet caused a lot of uproar in the financial community. To get to the bottom of this OG from the Stacking Benjamins podcast shares his thoughts about: Average equity returns [...] The post appeared first on .
108: Do you know how much you should have in an Emergency Fund? Dave Ramsey recommends having a 3 to 6 month worth of liquid savings in case the unthinkable were to happen. Serious illness, sudden loss of income, or expensive unpredictable events can take anyone by surprise. Having thousands of dollars in savings could convert [...] The post appeared first on .
107: Get it while it's hot! Banks and lenders are offering to sell us money everywhere – and they are telling us it’s cheap! The marketing around selling debt is more prevalent than ever before. Try turning on the TV or driving down the road without hearing an ad or seeing an billboard for a debt product – you’ll never make it. For more information, visit the show notes at
106: Have you ever had one of those weeks when everything went wrong? I’m having one and it might just cause me to pay for my speeding ticket with emergency savings. This week's mishaps: Our stupid backyard fence needed repair My laptop battery stopped working I got me a speeding ticket! The post appeared first on .
105: We bought my wife's last vehicle from the Joneses. You've heard of the Joneses. They have all the freshest gadgets, the most fashionable clothes, and drive the newest vehicles. You can get an excellent bargain if you buy your next car from the Joneses without getting a lemon or ruining your finances. Buy your next [...] The post appeared first on .
104: Gregg Murset, Founder and CEO of MyJobChart.com, believes teaching children early and often is the best way for them to learn how money really works. He should know, he has six children between the ages of 5 and 15! Teaching Kids About Work And [...] The post appeared first on .
103: Car payments, mortgage interest deductions, the morality of money, and who has control of your money: This episode addresses these popular financial topics and we give you a new perspective. Today's show is brought to you from Jon White, my pal and comrade from JW's Financial Coaching. He is all about giving you a new [...] The post appeared first on .
102: Many people can get by without ever doing a budget. Do you qualify as a person that doesn't have to go through this seemingly painful process? The Rich (Financially Independent) Thomas Stanley wrote a book called The Millionaire Next Door. He interviewed millionaires and high income earners. One of the observations he made was a [...] The post appeared first on .
101: Have you ever considered where money came from? The basics of all things finance lays in the concept of a centralized currency with variable purchase power. The great news is that it's a very simple subject, but it has morphed into this horrible set of non-tangible products that are being marketed to you day after [...] The post appeared first on .
100!!! Timm Etters joins me in sharing listener's inspirational stories and quotes in the 100th episode of the MoneyPlan SOS podcast! I also share one of the inspirational people in my life, my best friend Timm. For more about Timm Etters go to the end of this post. Inspirational Quotes from listeners Tony Dungee: "It's about the journey, [...] The post appeared first on .
99: UPDATE! Ready for Zero has retired, but the idea they put forth changed my mind about the Debt Avalanche. Ben from Ready For Zero (now owned by Avant) joins me in a conversation about the #1 reason a Debt Avalanche method could actually work better than the Debt Snowball. For more details, visit
98: Erin Lantz from Zillow.com joins me to share ways to avoid lending pitfalls that can prevent you from buying a house. More information can be found at
97: How much does someone's past affect your relationship? Do you see someone's past failures as a problem or see them as exercises for personal growth? What if that failure was an addiction? Would you make the same decision Mandy did? Blogger, mother of three, and wife of an ambitious man Mandy Knight is a mom, [...] The post appeared first on .
96: There is a direct correlation between Personal Finance and Physical Fitness. Currency and calories, consumerism and consumption - they all affect how rich and fit we will become. For more information, visit the show notes at
95: Purchases are more expensive when we use credit cards. A proposed change to Visa and MasterCard regulations may remove restrictions on vendors and businesses - allowing them to add a surcharge fee when customers pay with a credit card. This fee has always been there, we just never noticed it before. I also share steps you need to take to ensure you are a responsible Debit card user. For more information, visit
94: Today I break down the tax return Form-1040 into sections to help us better understand what we need - and why we need it. Income tax returns can be difficult. Breaking the 1040 down into sections helped me to understand it better. For full show notes, visit
93: Congress averted the Fiscal Cliff. Or did they? Effective with the first payroll of 2013, there are a number of changes to paychecks for employees. The American Taxpayer Relief Act of 2012 (“Relief Act”) was passed by the United States Congress on January 1, 2013, and includes several changes ... For more information, visit
92: Jon White shares a story of how someone gave really bad financial advice to a young couple. You can read his post here: He and I agree, there is a lot of advice out there that will lead you to make bad decisions with your money. Jon and I talk about How Financial Coaching is [...] For more, visit
91: Financial Soldier, Jeff Rose, is starting another movement. He is leading the Debt Squad into a battle with debt and we are taking no prisoners. In this interview he shares how he came up with the idea, the goal, and what he expects will happen in the next 90 days. The Debt Movement [...] For more information, visit the show notes at
90: Putting money into a 401k is a smart tax-saving money move. The Government allows us to sock away up to $17,000 of our hard-earned pay and not pay income tax on it (up to $17,500 in 2013). The money in the account grows without making you pay taxes like a regular investment-type account would, you [...] Read more about how a 401(k) works at
89: Certified Financial Planner and IRS Enrolled Agent, Jim Blankenship, is the owner and author of FinancialDucksInARow.com, a blog that focuses on taxes, retirement planning, and Social Security. He saw the savings rates as being too low to enable Americans to retire when they wanted to or that they didn't have enough when they needed. Want to learn more? Visit
88: ONLY 38 MONTHS LEFT ON OUR MORTGAGE! What happens when I throw a little bit extra every month towards the principal? The scales tip towards our debt free date, that's what! UPDATE: We paid off our house in December 2015. For more information, visit the show notes at
87: What is the best thing to do with a Christmas Bonus? It depends on your current financial situation. There are only three things you can do with money: Spend it, save it or give it - and we need to do a little of all three. In this episode, I use the example of a $10,000 bonus check. For more information, visit the show notes at
86: Interview with a YNAB super-user You Need A Budget, an incredibly flexible and easy-to-use software application, started as an excel spreadsheet. Steve Mudie remembers those days as he started using it back in the early days of YNAB. After filing for bankruptcy, Steve Mudie discovered Dave Ramsey. He realized the importance of keeping to a [...] For more information, visit the show notes at
85: Professional Organizer Diana Luetkemeyer joins us again to share tips on how to have a stress free holiday. How do we handle the added responsibilities during the holiday season? Write down your favorite 3 holiday tasks Write down least favorite 3 holiday tasks Delegate least favorite to others (hire someone or ask family to help) The post appeared first on MoneyPlanSOS.com
84: Joe Saul-Sehy is a recovering Financial Planner. Currently, he is the co-host of the 2 Guys and Your Money podcast, COO & chief bottle washer at TheFreeFinancialAdvisor.com, and was the Channel 7 WXYZ-TV "Money Man" in a previous life. He joins us today to talk about Financial Advisors and Compliance. For more details, visit
83: We don't give simply to save on taxes - that would be silly. At the center of our spirit is this reason to give: Just because we want to. For more information, visit the show notes at
82: Negotiation is a strategic communication process to get a deal done or solve a problem. Dave Hilton joins us to talk negotiation skills and how to deal with conflict. For more information, visit
80: Emily Chase Smith is a Debt Solutions Attorney that started by practicing bankruptcy law. Emily knows bankruptcy is not always the solution and she helps people determine what their best debt solution is. Find more information in our show notes at
79: Pregnancy, layoff, or move to another state: These are all situations where you would press "PAUSE" when working Dave Ramsey's Baby Steps. For details, visit
78: Which works best for paying off debt: Paying extra on high interest debt or a low-balance debt? For many more details go to
77: How do you get an emergency fund put together? Income + Budget + Envelopes = Emergency Fund More details can be found at
76: 5 ways to save money FAST that will last and last and last. Garage sales are great for getting fast cash but doesn't last. Getting a raise at work is important too - but it isn't fast. For more details visit
75: Got 5 minutes? That’s all I need to show you how to live debt-free and not have to worry about your credit score. You can have no debt, no credit, and have no problems – even for a house! Read more at
74: What does minimalism have to do with personal finance? Find out as I talk with Robert Wall, a Minimalist who is living WITH less - which enables him to live ON less. For more information, visit the show notes at
73: Rolling credit card debt into a mortgage sounds like a great idea, but does it really make cents? Join me as I go through the math. To follow along, visit
72: There are two primary types of Life Insurance: Whole Life (permanent) and Term Life (temporary). While I can not make a blanket statement to say you should do one and never buy the other, there are a lot arguments that can be made to show that Term Life is the better answer for the general population - and I have the math to prove it! For more information, visit
71: Scott Plaskett, CFP at , takes time away from his busy schedule to explain the various ways that Financial Planners get paid: Commission based Fee Only Fee based We also take time to discuss the , a report he makes available on his website. For more information, visit the show notes at
70: Chris Hogan, a Dave Ramsey Speaker, shares tips for those looking to lead Financial Peace University at their church or community center. For more details, visit
69: More important than monitoring for ID theft is the recovery. It takes many hours to clear your good name, and now there is a service that will do it for you. Diane Sacks - Vice President of Marketing & ID Theft Protection at , explains how their ID Theft Protection plan is different from others - and better! To learn their 3 tips for protecting our ID,l visit
68: Tami Nealy, Senior Director of Corporate Communications at , explains what LifeLock does and how they can help you keep an eye on your ID. For more information, check out the show notes at
67: How long do we keep tax returns? Where should we store important documents? What in the world should I do with all these digital pictures? Professional Organizer, Diana Luetkemeyer, explains the benefits of organization in our homes and our businesses. For more information visit
66: These simple tips helped us trickle even more money away to pay for upcoming vacations: Route 66 Road Trip, Florida beaches, and a horse ranch in the mountains. For more information visit
65: Zac Bissonnette wrote his new book with one simple question in mind... What should young people do with their money in order to have the best possible life today and for the rest of their life? Show notes and links for the book are at
64: Dave Ramsey announced changes to the Financial Peace University (FPU) course in a live webinar on June 5th, 2012. Not only have the videos been re-recorded but the curriculum has some exciting new changes. For more, visit the list at
63: My theoretical budget spreadsheet shows you where the opportunities lie in your budget. To download the spreadsheet, visit this original post at
62: I used a "Break Even Formula" to see if would make sense when closing costs could be recovered by the interest saved on the loan. A listener asked if they could use the same analysis to compare insurance and deductibles. For more information, go to
61: Don’t make it easy for them! Follow these 8 tips to make your identity harder to steal! These steps can not guarantee your ID will never be stolen, but following these common-sense tips can help make your ID harder for someone to steal. For a full list and show notes, visit
60: A listener sent in a question about investing while he's in debt. He makes a great case study for us to examine if there is a one-size-fits-all get-out-of-debt plan, or not? To read his letter or learn more about investing while paying off debt, visit
59: The path to becoming wealthy is to save, invest, and live on less than we make. Using other people’s money is expensive and is eroding our ability to become financially independent. It's keeping the middle class in the middle class. For more information and a full rundown on everything mentioned in this episode, visit
58: Couponing is not just cutting pieces of paper out of your local ads, it involves shopping, travel, and seeking out great values to help you stretch your dollar. Saving money with coupons is wise. Do you realize all the costs involved? Jenny Kerr from TheJennyPincher.com shares her experiences of buying things she didn't even need just because she got a deal! For more information, visit the show notes at
UPDATE: Perkstreet is no longer in business. To hear more about what caused them to close, listen to Episode 120 "What happened to PerkStreet" or visit