Young households 'crushed' by recession
Dave Ramsey's tips to dig out of debt
- Duration 3:36
- Date Jun 20, 2012
Dave Ramsey's tips to dig out of debt
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Hope and change crowd that help.
Elect President Obama back in 2000 -- have been crushed during this recession according to a new report young households the young people these are parents.
Age thirty -- 44 lost 59%.
Of their wealth they are the hardest hit at any age group.
So what's the best way for them to get back on their feet.
But this personal finance expert.
Enjoy this right now from Nashville.
-- the story we describes you you talked a lot of people who experience -- you don't look at statistics but you have some advice for some of these people going throw it.
Well absolutely just hang on because -- that statistic is honestly it's it's misleading because.
That particular age group almost all of their net worth is based on their home.
And a lot of areas the home has not recovered.
However if you go to for instance Denver.
Or Phoenix we're seeing an increase in 90% of the neighborhoods Wall Street -- reporting yesterday increases in values and increases in home starts.
So but other areas are way down still for instance Florida still struggling in many markets are Michigan.
Those kinds of things so when you look at an overall thing with a real estate.
That's what's causing this.
So you so you say do you tell them to hang on meaning don't move.
Don't check your equity all the time just stay put and it will actually go back up.
Well I do believe real estate is going to recover if Washington -- mucking around with the economy and let this thing re grow it's starting to grow back in some areas.
And Israel -- recovers this 59%.
Crushing of their net worth will recover because it's all in the value of their home.
You also say don't wait on the government to fix your situation so wait for -- they did the next cure program that come from Washington.
Well and that that's the problem President Obama has politically right now he ran on hope -- change -- you should going into the segment.
And and basically there's not been any hope or -- much change.
And so that the economic policies he's tried have not worked.
And you really can't run on hope and change twice and then works he's really got issues there with the average guy out there because he's looking around going.
I'm still sitting in a mess from.
We have an email from a viewer and this guy has a typical problem -- so many people do we are a young married couple.
And disagree on how to budget what's a reasonable amount of money for groceries and miscellaneous spending -- in New York once and now.
Well -- certainly if you're in New York you've got a higher cost of living than you might say in Austin, Texas so you've got to look at that.
An average family of four right now and all the budget counseling we're doing.
Is spending somewhere own groceries and eating out between 750 -- thousand dollars a month Macs -- you can do it for less than that.
But I'm finding a lot of people spending a lot more than that those are not tracking their spending -- The trick is set a number and then monitoring its gonna take you to three months of budgeting together to get your numbers worked -- trial and error.
Right and write everything down to it's actually get that base.
Christina writes this from Florida I'll be enrolling in my first 401K plans soon I only make 24000 a year.
What's a good starting percentage rate and so on promoted and make more.
Well first thing I'm gonna recommended -- Christina is -- getting personal debts paid off.
Because then you don't have those payments and it gives you more money to put into your 401K.
-- make sure you have an emergency fund to put in place now if you've got emergency fund in place and you don't have any debt payments making point 4000.
We're gonna try to get -- -- -- as high as 15% of your income going into the 401K.
Especially if they've got to match.
All right -- -- great advice for us thanks so much for joining us this morning.
Thanks for the guys who makes everything seem so --