Where Financial Peace gave you the solid saving and investing principles, this book puts those principles into practice. You'll be exercising your financial strength every day and quickly freeing yourself of worry, stress, and debt. And that's a beautiful feeling.
©2003 Dave Ramsey; (P)2003 Thomas Nelson Publishers
"The strength of this book is that it is a straightforward motivational tool. He provides the brutally direct truth about the hard work it takes to become free of debt, and his directness is a great part of the book's charm." (Publishers Weekly)
I have business degrees from Wharton (BS) and Stanford (MBA), but like most Americans from middle class backgrounds, I never got much training in personal finance and always felt bewildered by it. I recently listed to The Total Money Makeover for the third time and it clicked. The first two times, I was still in school and had no income, so felt powerless to act on its lessons. Now, with a steady income (and some monstrous student loans) the lessons are relevant, actionable, and empowering.
Before, I always felt at a loss when it came to budgeting. After re-listening to The Total Money Makeover, I got a second savings account to hold my emergency fund and long-term savings, making it easier to separate between current accounts and short-term savings. Now, I have an Excel spreadsheet with a separate column for each upcoming pay check. I know how much of each paycheck will get immediately transferred into long-term savings (e.g. for a wedding in the fall), how much will go to short-term savings (e.g. for next month's rent), and how much disposable income I have in my current checking account.
Furthermore, I have a better plan for paying down my debts. If I were to approach this according to the pure net present value financial principles taught in school, I would start with my big student loan (highest interest rate), then my smaller student loan, then my car loan (lowest interest rate). After listening to Ramsey, I'm going to do it in the opposite order. Although that will cost me some in NPV, it means I can pay off my car loan in a few months (freeing up $250 per month in cash flow), and can pay off my smaller student loan in a few years. My larger student loan is the size and duration of a mortgage, and I'll treat it like it's one. If I tried to pay it off first, I wouldn't see any impact on my cash flow for probably 14 years, making it discouraging to try to find extra dollars to put towards paying down debt. Trying this the Ramsey way, I already feel like I'm making progress and am motivated to do more.
Dave Ramsey is an inspiring speaker. Although his message may come across as simple, in my opinion it does a far better job taking into account human nature than any of the sophisticated financial and economic models I spent so much money learning. I can't recommend this book enough.
This is a husband wife account. You will see a wide variety of books
I would give a B-. Gets to the point, gives good metaphors and easy to follow.
Metaphors used to describe steps or missteps are very memorable and applicable to most people.
Voice and diction were probably best compared to what I have listened. Would expect good performance from professional speaker. Have heard some "funny" start/stops or paragraph breaks on other books. Probably start of new session or after break. Did not hear in Ramsey's performance, however this book is shorter than most. 3+ hours
No crying, definitely a few laughs. Mostly found myself quoting excerpts to others.
Religious overtones and bible quotes throughout book. However quotes in nature of "Saving" money and neither borrowing or lending; giving money OK. People describe me as Agnostic and this did not bother me. All in all good book, great performance. Enjoy
Fear is the mind Killer, so Face Your Fear
I have. I am a financial advisor and every high school kid, anyone who wants to be out of debt, and anyone without 6 months savings should read this book. It teaches real money mangement.
The step by step process to financial stability.
He is truly passionate about what he does and is a motivating leader. I do not always agree with him, but he is right when it comes to managing money.
this is a must read and top ten book of all time for me.
Great book showing a simple, common sense, approach to getting free of debt. It's not easy. You'll have to sacrifice and live like nobody else but end the end you will be able to LIVE like nobody else!
I appreciate the insight offered in this book. The steps outlined are easy to understand. The scenarios offered were helpful.
Even if you might not adhere to Dave's plan exactly, the idea of slavery to debt and freedom from it are very motivational. I feel like the examples he uses are real life people and he doesn't use terms or language that is reserved for finance professionals. It really is a good, practical plan for getting out of debt via hard work and perseverance. Even though his plan is not the best "mathematically", the point of getting some quick wins by paying off the lowest balance without regard to interest rate is a legitimate point. Honestly, you can hear most of the content of this book in his daily podcasts. I do recommend this book to people.
This book is for those who realize that there is no "magic" in getting on top of finances. It is very practical in its approach. I'm done with the books, theories, and thinking that suggest that there are quick fixes to wealth. God, and much less, "the Universe" will not save you from your financial woes. Only hard work, serious budgeting, and self-control will.
Some people have remarked that they don't like the tone of this book. If the author seems a bit "brash", it's only because he's attempting to highlight the level of insanity with which most people approach personal finance. Take a look around you. The guy you work with who just bought a new Hummer. Your sisters' friend who just moved into a $800,000 home. They must be doing great, right? WRONG.
The truth is, they're most likely broke. They're high-income, low-net-worth people who are teetering on the edge of complete financial ruin. Rich people, don't do these things!! Well, that is unless they're really really rich.
This book will change the way you think about money. When I see the guy in the new Mercedes now, I think, "Man, that guy has nothing in the bank". This book will make you proud of your old jalopy. After all, it's better to ACTUALLY BE RICH.
Most Americans WISH for financial security and DO everything they can to make sure it NEVER happens. I think this is a level of insanity that warrants a brash tone.
If your ready to get real about your finances, this is the only book you need to read.
Tell us about yourself!
Great book! He gives you clear instructions on how to get out of debt. Good motivation for people who don't know where to start. Well worth the credit!
"Thank you Dave Ramsey"
This is a quick update to those in need of hope. I wrote a review back in June last year and now wish i could give this book more than 5 stars!!! We are now debt free, thanks to Dave's principles layed out clearly in this book.
great advice. strong American biased but the basic plan is sound where ever you live.
"Good sound advice"
It's what many people need to hear. No rocket science. Just straight talking. Short and to the point. The tough talking could feel a little OTT for some but it is not unbearable; I found it entertaining and used appropriately to stress points. Will pay for itself many times over
"mostly for americans"
there are some useful points, but in general this book's knowledge is applicable for americans
Loving this book. Hard Hitting and no nonsense practical way to move forward to Financial Health.
Very straight forward advice that anybody can follow and become wealthy get out of debt save for retirement etc.
The advice is very american-based which is obvious as he is from the US but it translates very easily to the UK so can still be followed.
I loved the baby steps, so easy to take on board and digest. I admit it would take most people a while to go through all the steps and reach the stage where u get to "live like no one else because u've lived like no one else"but the goal definitely seems worth it.
"A Dull , Dry Topic Brought to Life"
Well written book about a subject that's easy to procrastinate over. I would highly recommend.
This is a very good personal finance book . Simple steps to achieve financial freedom. I would buy other book by Dave and read them definitely.
"Excellent from start to finish"
If you are tired of living life payday after payday and never seeming to have any money then I highly recommend this book.
It is a tried and tested method that so far has worked wonders for me!
A real eye opener, I'm now encouraged and hopeful for a better financial future and legacy.
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