Dave Ramsey: Behind With Retirement Savings? Running the Math Gives You Hope
Written by
Yaël Bizouati-Kennedy
Edited by
Cory Dudak
Commitment to Our Readers
GOBankingRates' editorial team is committed to bringing you unbiased reviews and information. We use data-driven methodologies to evaluate financial products and services - our reviews and ratings are not influenced by advertisers. You can read more about our editorial guidelines and our products and services review methodology.
20 Years
Helping You Live Richer
Reviewed
by Experts
Trusted by
Millions of Readers
On his namesake show, host and financial guru Dave Ramsey discussed how to save for retirement if you’re 50 or over.
According to him, it’s important to do the math to see where you are — and once you see the numbers, you’ll have hope for the future and can move forward without fear.
“Numbers actually give you a result that gives you hope,” he said.
For instance, if you tell yourself you have $100,000 in debt and you will never be able to get out of it, doing simple math represents $33,000 a year for three years, or $2,600 a month, he said.
“All of a sudden the numbers give you hope. The math gives you hope,” he said.
Responding to a 50-year-old caller who said she doesn’t have anything saved for retirement and doesn’t know where to start, Ramsey offered some tips.
In her case, she doesn’t have any debt as her mortgage is fully paid off and she has a fully funded emergency fund. In turn, he advised her to invest “as aggressively as possible now.”
He added that if she invests $1,000 a month for the next 15 years — while not missing a month and getting started immediately — “at 65 you will have right around half a million.”
“What this means is not that you’re rich but it’s enough to make sure you’re not cold and hungry,” Ramsey added.
He further recommended taking action as soon as possible, consulting with a professional and getting on a budget.
More From GOBankingRates
