CJ
Appearances
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
Hey, guys. Thanks for having me. So I'm just wondering, what can I do to break the cycle of getting out of debt and into debt? As someone who's kind of young but has a pretty high income and kind of comes in waves and cycles, I can't get out of the habit.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
So last year I came out pre-tax about $255.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
I'm a commercial wholesale insurance broker.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
I'm pretty decent, yeah.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
So I have about $330,000 in a home, $46,000 in a car, and $35,000 in student loans, and $6,000 in cards.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
So $6,000 in cards. Like credit cards.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
Well, my base, well, last year my base was only about 90, and then the bulk of that was biannual.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
Bonuses that I got, yeah.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
So what do you do with those when they come in? Part of it, I usually set back about 50% of my expenses coming for bills and everything for the next six months. I put that aside so that half of my actual paycheck is going towards bills. And then the other half is coming from what I set aside. And then the other part of my paycheck, I kind of just send it.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
Yeah, let's do it. All of the above, especially Uber Eats.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
Not all of it. It's kind of just jumped. If I have to have the cash, I'll use the cash. But if I'm in a crunch, I'm like, well, the card's right here.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
Since we're at the end of the six-month period of me having bills and everything split, maybe closer to like $5,000 or $6,000.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
uh maybe um i get maybe is what gets us in debt again the absolutely that's where you need that level of fire let me ask you why did you call cj there's something in your guts why did you call the stress of it that's kind of um you know because it's every six months you know right before i get a windfall of a bonus um you know i get closer to that that to february it's like oh wow um
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
I'm scratching by. Let's wait until the end of February to get that. All right.
The Ramsey Show
The Baby Steps Break You out of the Paycheck-to-Paycheck Cycle
Yeah, it was a single-wide trailer in the middle of nowhere.