From Baby to Big! 7 Big Steps to Generational Wealth.


A question I get alot is what do I think about Dave Ramsey's 7 baby steps!

Dave Ramsey is one of the world's biggest financial counsellors, and has helped millions of people get their finances right. I have plenty of respect for him and what he has done, so not for one minute am I going to slam him or shame him for his 7 baby steps to wealth...

I do however have a couple of very different thoughts, and based on my personal experience, I wanted to share my thoughts on his baby steps, and my differening opinion on how to build generational wealth, to decrease debt while gaining assets.


So here are Dave Ramsey's 7 Baby Steps, and my response with my personal 7 Big Steps to Generational Wealth.




Dave Ramsey's Baby Step 1. Save $1,000 for your starter emergency fund ---> This will cover unexpected life events you can't plan for.

My Big Step 1.

If you've ever been in a position where you have lost your job or a situation where you have needed to rely on your emergency fund, you know that having a $1000 emergency fund ain't going to cut it for long! Instead aiming at a down payment for a property is that becomes your emergency property is the key. Once you have purchased an cashflow producing investment, you can put that cash flow, aside. This makes that property cover your emergency fund, have an account for cash to go into while you are still working and living life.




Dave Ramsey's Baby Step 2. Pay Off All Your Debt (except your house)


My Big Step 2.

While I agree I also disagree and here's why!

Yes don't become a slave to bad debt, but please don't pay it all off as your next goal... I want you to let your assets pay off your liabilities... This means the properties that you purchase SHOULD have a purpose, for example, a house for your credit card debt, a house for your food, a house for your children's college fund!

Let your assets pay for your liabilities, create more equity in between!




Dave Ramsey's Baby Step 3. Save 3-6 months of expenses in a Fully Funded Emergency Fund


My Big Step 3.

If you can save 3-6 months worth of expenses you definitely have enough money to put a down payment on a property. Take that same mindset of saving 3-6 month worth of expenses and use that money to put on a down payment, then you would have something that can last forever. I actually bought enough assets that were going to passively make me enough money to take care of my lifestyle for the rest of my life. Not just for 3-6 months, I did it for the rest of my life! And if anything happened to me, that would take care of my children. It's about your lifestyle forever not just 3-6 months!!




Dave Ramsey'Baby Step 7. Build Wealth and Give


My Big Step 4.

Look, I've worked a 9 to 5 for over 20 years and I've seen people live by this, and at the end of their retirement, they still don't have enough. They run out!

Although it sounds good in theory, it's never enough... Why? Because with inflation, increased cost of living, your expenses will always be increasing!

Don't fall victim to the retirement dream! Let's start right now, invest in yourself, as opposed to taking that 10-15% and putting it in an IRA! Take that percentage and invest in long term, cashflow producing assets, and watch what these assets will do in the next 20 years.




Dave Ramsey's Baby Step 5. Save for your children's college fund


My Big Step 5.

I told you before I have a purpose for every proper