Apr 5, 2024
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Dave Ramsey has fervently preached financial advice to Americans for decades — but younger generations are now slamming the white-bearded radio host for offering counsel that doesn’t quite account for the current cost-of-living crisis.
One frothy example is Ramsey’s vociferous renunciation of the daily cup of Joe. A 2021 blog post on his company website, Ramsey Solutions, claims a person’s coffee habit could be costing them $766 a year — money better spent paying down debt, putting toward investments or even traveling.
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But young Americans argue they’d rather help sustain their mental well-being and hold onto the small luxuries that bring them joy daily rather than save a little extra cash.
Scorning Ramsey's advice
Clips with the hashtag #DaveRamseyWouldntApprove have over 65 million views on TikTok, with videos criticizing him for being out of touch with reality.
It’s clear that Ramsey’s advice, which often includes living frugally or taking on more work to increase your income, doesn’t quite resonate with younger listeners.
“Self-care is extremely important and if that means buying a $6 coffee every day, do it,” Jarrod Benson, a 32-year-old comedian and TikToker from Orlando, Florida, told Business Insider.
Spending smarter doesn’t necessarily mean saying goodbye to your $6 coffee if you spend wisely with the Acorns app.
Acorns is an automated savings and investing app that lets you save while you spend. When you link your bank account to Acorns, every purchase you make is rounded up to the nearest dollar, and the spare change automatically invested in a diversified portfolio of ETFs so you can make your morning treat a little more worthwhile.
Keeping track of what you’re spending to what you’re saving is worthwhile — even if you enjoy a $6 coffee every now and then.
Monarch Money is a budgeting tool that makes staying up top of your finances simple. You can set and track your financial goals, access personalized advice on where to cut back on unnecessary spending and track your net worth.
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To get started, all you have to do is download the app, make an account and start a seven day free trial.
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Ramsey's advice isn't always right
Another one of Ramsey’s critics on TikTok, Kate Hindman, stated: “I’m not willing to do anything to get out of debt. I’m not willing to eat rice and beans every day, I’m not willing to have three jobs and not spend time with my children. I’m not willing to forgo my favorite salad on a Friday.”
Hindman previously went viral on the platform when she decided to convert $30,000 in credit card debt into a debt consolidation loan with an 8% interest rate — a tactic that Ramsey famously despises, contending that the terms of a consolidation agreement do not always fall in favor of the consumer.
Yet, consolidating debt can be a strategic approach to pay down your debt more quickly and with a manageable interest rate. Credible makes it easy to streamline your debt repayment at an affordable rate.
Through their online platform, Credible offers a convenient way to explore debt consolidation from various lenders, allowing you to find personalized offers that suit your financial needs. Credible ensures you can take control of your debt through a single, fixed-rate loan, eliminating the hassle of managing various payments.
For those like Hindman, who find themselves drowning in the red, simply saving a bit of cash here and there isn’t enough to make a substantial dent in their debt. This is where the expertise of a professional can help you make progress toward financial stability.
This is where Advisor.com — an online platform that connects you with vetted financial advisors — comes into play. By completing a quick questionnaire, Advisor.com matches you with a financial adviser tailored to your specific needs. Once you get matched, you can get a free consultation with no obligation to hire.
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