Total Money Makeover

The Total Money Makeover by Dave Ramsey

Okay, I know this isn't a novel. I really don't enjoy reading things I have to work at. Dumb kind of. But reading is almost always purely for enjoyment for me. Well guess what? I enjoyed this book. It was FUN to read. Not only did I learn a lot. I loved every minute. Dave Ramsey got me all pumped up about money. I know I was probably snookered by some psychological something.......but so what.
This book is about how to rethink what money means in your life. Everything is broken down into baby steps. You are shown how to get rid of debt and live a life free of the slavery of credit cards, loans, even a home mortgage. Dave honestly and intelligently points out the myths our society lives by as a religion built on money. Then he breaks them down and shows us how they are so wrong. His motto is "Live now like no one else so later you can live like no one else." Meaning if you sacrifice a little now you can live free and wealthy in the years to come. Dave has included worksheets to help with a budget, debt snowball, retirement and showing how much you are BLOWING in interest on your home loan. (Just for kicks I did a financial calculator on his website daveramsey.com and found that if I go haywire on my finances I can retire with 3-8 million dollars. I was feeling pretty good, considering I am po'. And you aren't so nutty with your money that life sucks until you retire.)
There are 7 Baby Steps..........1) $1,000 emergency fund which can go to nothing but dire emergency, not wants. 2) Debt Snowballing , list your debts from smallest to largest and begin by paying off the smallest. Then take the money you were paying on that debt and move it up to the next one. By doing it this way you feel a sense of accomplishment (yay!) and are able to keep going because you see progress. These debts do not include your home loan. 3) Build Emergency Fund. Build up enough money to cover 3-6 months of living expenses. This doesn't mean 3-6 months of income, but 3-6 months of essentials. Probably around $10,000. 4) Invest. Begin investing 15% of your income for retirement. 5)Save for College. He also shows you other ways to pay for college than just forking out the cash. 6) Pay off the mortgage!!! He also cautions never to get into a 30 year mortgage. Try if you can to only lock into a 15 year. 7)Build wealth like crazy........invest and make your money work for you.
I rate this book a 5. I loved the information. I even took notes. Also, it was a great read for me because it was emotional. That is usually what pushes me from a 4 up to a 5, great emotion. The book is also a G. Clean as clean can be. Good for a 3 year old and up. I recommend it to everyone.