We buy things we don’t need with money we don’t have to impress people we don’t likeDave Ramsey
The Total money makeover | Dave Ramsey
Dave Ramsey’s Total Money Makeover teaches you through seven steps how to build a strong financial future. Ramsey is the most popular personal finance book of all time, with millions of copies sold globally. Dave Ramsey is on a mission for the world to stop accepting debt as normal!
Ramsey presents the challenge of creating wealth through seven ‘baby steps’, which are;
- Baby step 1. Creating an an emergency or ‘breathing space’ fund
- Baby step 2. Incrementally paying of all your debts (snowballing from smallest to largest)
- Baby step 3. Boosting your emergency fund to 3-6 months living expenses
- Baby step 4. Begin investing 15% of your income for retirement [INDEX FUNDS!]
- Baby step 5. Save for your children college expense
- Baby step 6. Pay off your home
- Baby step 7. Build wealth and give
The Total Money Makeover has common grounds with many personal finance books, such as Scott Pape’s Barefoot Investor. Nevertheless, it is still a good read and presents many unique aspects and practical tips which you can take away and implement. Although I prefer not to discuss the topic of religion, Ramsey often combines biblical references and preaching into his book which can be confronting for some.