Book review- Dave Ramsey The Total Money Makeover

The Total Money Makeover, Dave Ramsey.

Chapter titles in bold:

1. The Challenge.
2. Denial. Most of us won’t admit we have a money or debt problem.
3. Debt Myths.
4. Money Myths.
5. Two more hurdles. Keeping up with the Joneses.
6. Save $1000 fast. Beginner emergency fund.
7. The Debt Snowball. Pay the debt off.
8. Finish the emergency fund. 3 to 6 months living expenses.
9. Maximize retirement investing.
10. College funding. You don’t need debt for college.
11. Pay off the home mortgage. The tax write off is a myth.
12. Build wealth and give.

My thoughts on this book.

My favorite part of this book begins in chapter 3, the myths that we all have been told and have believed for years about money and debt. Dave debunks the most common myths like:

Debt is a tool. Loaning money to friends is smart. By cosigning I am helping someone. Ninety days is the same as cash. Leasing a car is smart. A new car is a deal at 0 percent. You need a credit card to build your credit, etc. The book also has some stories of real people that believed the lies, and got on Dave’s plan and became debt free. The plan works. But it’s not an easy button. It requires real work for it to work. It’s not for everyone. Only those of us that are “Gazelle Intense”. All depends on how much debt you have and how much money you make, and how hard you are willing to work become debt free. I’ve been on this plan about 6 years now. I am close to being debt free.

This is one of the best finance books that I have read in a long time. Easy to understand. This book should be required reading for high school students before being allowed to graduate. That is how strongly I feel about this book and it’s contents.

Dave tells it like it is. If you think that car payments are something you will always have, or that credit card debt is a good idea, or that getting in debt for a home because a tax write off for the home is smart, and you refuse to believe otherwise, then this book may not be for you.