Dave Ramsey’s Financial Peace University-Class One (my notes)

My daughter Amber took notes for me! Thought I’d share.
Super Saving: Common sense for your Dollars and Cents
Baby Steps to financial peace.
1) 1,000 dollars cash in the bank
2) Debt
3) 3-6 months expenses in savings
4) invest 15% of income into retirement plans
5) college finding
6) pay off home early
7) build wealth and give it away
-Live and give like no one else.
BABY STEP ONE.
put the money somewhere that you don't have access to it, except for emergencies!
we don't like change-we are proud of our stupidity, defensive of our mess.
saving must become a priority
you need to learn to pay yourself first
and then pay your bills
scenario- a disease breaks out upon children and it attacks your child and you need 5k to the cure, do you have the money, or do you only have it when it becomes important to you?
the U.S. has a negative saving rate, we're spending more than we're saving
saving money is about emotion and contentment
money is amoral-The love of money is the root of all evil. NOT money.
people relate rich people to being evil
the difference between saving and hording is your attitude not the amount
Proverbs 21:20-In the house of the wise are stores of choice food and oil, but a foolish man devours all he has.
clenched fist=hoarding
open hand=money in and money out
why we save money
1) emergency funds
2) purchases
3) wealth building
emergency funding is for unexpexted events
GOK fund...the God only knows fund.
unexpected events are not really unexpected
BABY STEP THREE.
have 3-6 months of emergency expenses
get a money market account
emergency fund is not an investment but insurance
don't touch the emergency fund.
when you get an emergency fund emergencys stop happening
emergency fund is your first savings priority, then purchases instead of borrowing.
sinking fund-save money and get intrest on that money
wealth building requires discipline
Hebrews 12:11- No disipline seems pleasant at the time, but painful. Later on, however it prouduces a harvest of righteousness and peace for those who have been trained by it.
building wealth takes time and effort(marathon-not a sprint)