Dave Ramsey Baby Steps - UK Version Explained

Dave Ramsey Baby Steps - UK Version Explained
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In this video I walk you through the 7 baby steps from Dave Ramsey’s book, The total money makeover.

Although the steps were created in the US, the principles apply just the same in the UK, or anywhere else for that matter.

My Monthly Budget Spreadsheet (Zero-Based Budget)
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CHAPTERS
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00:00 - 03:10 - Intro
03:10 - 04:44 - Step 1: £1000 Emergency fund
04:44 - 05:39 - Step 2: Pay off debt using debt snowball
05:39 - 06:55 - Step 3: Fully fund emergency fund (3-6 months)
06:55 - 08:09 - Step 4: 15% for retirement
08:09 - 09:33 - Step 5: Save for child's education
09:33 - 10:30 - Step 6: Pay off your mortgage early
10:30 - 11:11 - Step 7: Build wealth and give
11:11 - 11:51 - Credit cards
11:51 - 12:32 - Conclusion

WEBSITE/BLOG
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REFERRALS
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RESOURCES
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Compound interest calculator

Mortgage overpayment calculator

BOOKS
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Dave Ramsey - Total money makeover book (affiliate link)

DISCLAIMER
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I am not a financial advisor and everything I talk about on this channel is for information purposes only. I have learned through my own research. Remember that when investing in the stock market, your capital is at risk and you can lose money as well as make money. If you need help with your finances, you should seek help from a qualified financial professional.

HASHTAGS
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#daveramsey #babysteps #personalfinance #moneymanagement #ukfinance #moneytips #moneyhelp

[TicktakSunny-vzux]

I lived frugally for the past 5 years as I had a personal family caring role looking after my elderly dad in his 90's He passed away last year at 96 and I was financially vulnerable. I was in mortgage arrears and with a bank buy out they tried to repossess my house for the price of a second hand car!
Sheer gut instinct and survival I was in a position to get two jobs, found out about baby steps and although I live on my own, worked my butt off to secure my house, pay off my mortgage and start to live again.
The baby steps worked for me and I fully endorse Dave Ramsey's programme of becoming financially free. Yes you have to make sacrifices according to your circumstances but..wow..well worth it.
Thanks for your channel.

[ocubex]

Just stumbled on this, as someone who is also on the Dave Ramsey Baby Steps, it's the single most revolutionary tool my wife and I have used to transform our finances. If someone told us 10 years ago we can have 6 months of expenses saved in the bank, I would not have believed it as we could barely make ends meet then. Guys, it really works if you are disciplined to see it through.

[cattydcat]

I am real fan of Dave Ramsey's message and I think you make it really accessible for UK audiences

[BRIXandSTRINGS]

Found Dave in September last year and am already in Baby Step 3. Got a second job, sold everything and smashed my debts out in 4 months and although it was an exhausting 4 months, I’m now more financially secure than I’ve ever been in my life. I searched a uk alternative to Dave because I’m already prepping myself for Step 4 and really have no idea about investing whatsoever so I’ll be checking out your other videos for advice on this. Thank you.

[davidthomas-otcl]

Dave really motivated me to get rid of my debt. His rants are superb. I'd listen to them when my motivation was low. I had £22, 000 of debt on a low income. Took me 10 years but I finally paid it all off this year, then built up a 6k emergency fund and am now investing with Vanguard. Lockdown actually really helped me to save money.

[michelleosullivan]

I've been listening to dave for a while, such good advise, when I talk to family they have no idea who I'm talking about but also just tell me that debt is not bad 😂 I have a completely different mind set.

[sydney]

I'm a regular Ramsey show viewer and we get people in the chat all the time asking about how to apply the steps to the UK. I'll be referring people to your channel from now on :)

[natsdaley]

Thanks for doing this I have been listening to Ramsey solutions for about 6 weeks started in Sept at £11, 000 end of sept £9, 000 and I am not stopping for October and Nov It is a very freeing feeling

[mcleodpro]

Great video I’ve been hooked on DR since Feb 19 and me and hubby are now consumer debt free 🙌🏾🙌🏾 and working on baby step 3. It’s really nice to have a UK translation of the plan and I’ll certainly be subscribing to your channel. Thank you 🙏🏽

[gilgameshgamer]

Clear, concise and not trying to sell me anything. Another subscriber! - Well done!

[kassimbabika]

Thank you for this video! Many others I've seen try to "adapt" the Baby Steps to the UK fundamentally change it and/or just discount Baby Step 5 saying it doesn't apply here. As you pointed out, just because we've got a different system doesn't mean it's useless to save for your child's future.

Personally, I don't think there's much wrong to save for your child's education in the UK because all I hear about is how students are living hand to mouth and not having enough to cover all expenses. So, you may not want to or need to pay their tuition fees, but you can still certainly use savings to help with their expenses.

Preferably, a house deposit or money for a car and it's costs or simply a kick start to saving for your child's later life (So early?! Madness!) is an even better use for it though. Remember, at this stage you're now thinking in terms of generational wealth so, if your child doesn't have to save quite as much for these things, they can start investing even earlier and do better still for their children. It's...like a snowball.

But anyhow - rant over, I look forward to exploring your other content.

[sarahnottz]

Thanks for the video! I’ve been following Dave Ramsey too. I’m on step 2 and decided on £500 as baby step one instead of £1, 000. And won’t be working to pay off my student loan (like they do in the US). But it still works! 💷💷

[richardwilliams]

Great video, love the content 👍 I'd love to watch the whole of that video of when you were on you called into the dave ramsey show. Do you recall which episode it was?

[joshuafreeman]

I've been binge watching Dave Ramsey for about 2 weeks now. Anyway, mid-search for what UK viewers of Dave Ramsey think, and how it translates to the UK, I come across your channel and quickly realize.. "Wait, I recognize this guy from my Jiu-Jitsu Gym"
Small world haha! Nice channel man :D

[werthabrick]

im on baby step 2 at mo and will have this done by xmas 2023 ;0

[rudey-]

Also remember when your mortgage deal comes to an end you can pay off any amount you want befor taking your next deal so the percentage they allow is irrelevant but will save you a little in intrest

[Summit_Up_There]

Nice, simple, straight forward and to the point upload. (Which is why I didnt skip and watched till the end)

[BopToDaRealHipHop]

Very glad to come across you! Dave Ramsey method big time helped us get out of debt in 2015 and stayed so ever since! Snowball method best way for keeping motivated! Keep up the good work and thanks for taking the time doing what you are doing!

[birdsaloud]

Really good video. Thank you. You summed up the babysteps for a British audience really well. I came across Dave Ramsey on youtube last year during lockdown and I am so glad I did. It gave me so much motivation and direction to put our household finances in order. I still have a way to go but I am completing Babystep 3 this month! I use Ramsay’s free ‘Every Dollar’ app budget to ‘make every pound have a home’. Although the app is in dollars, I just pretend it is in pounds, and then it works! As for giving, I think it is a good habit to get into early even when you are paying off debt or saving. Just a little every month building up to 10% and then more once you reach babystep 7. Something happens when you start thinking each month where you want to give your set amount of money away to. It can be a charity of your choice or even to your local community centre or church. Maybe an individual who is needing help. It becomes part of who you are, and money seems to flow in more when you give out! That is strange but a lot of people find that and so do I. in the bible it says ‘It is better to give than to receive’.

[sorbet]

Great video, nice to see Dave Ramseys baby steps in more of a UK format. Do you have the link to the DR show you feature in?