Dave Ramsey's 7 Baby Steps

What is the first baby step in Dave Ramsey's 7 Baby Steps?

• Save $1,000 for a starter emergency fund

• Invest in stocks

• Pay off all debt

• Buy a new car

What does Dave Ramsey recommend as the first thing to do when starting the baby steps?

• Save $1,000 as an emergency fund

• Start a vacation fund

• Take out a loan for a new car

• Invest in a high-risk stock

What is the second baby step in Dave Ramsey's 7 Baby Steps?

• Pay off all debt except for the house using the debt snowball method

• Start a college fund for the kids

• Invest in the stock market

• Buy a new car

According to Dave Ramsey, how much should you save for your emergency fund in Baby Step 3?

• 3 to 6 months' worth of expenses

• 1 to 2 weeks' worth of expenses

• No need to save for an emergency fund

• 12 to 18 months' worth of expenses

What is the fourth baby step in Dave Ramsey's 7 Baby Steps?

• Pay off all debt using the debt snowball

• Invest 15% of your household income into Roth IRAs and pre-tax retirement plans

• Buy a new car with the extra income

• Start saving for your children's college fund

What does Dave Ramsey advise to do with your mortgage in Baby Step 6?

• Stop making mortgage payments

• Refinance to a longer term

• Take out a second mortgage

• Pay off your mortgage early

What is the final baby step in Dave Ramsey's 7 Baby Steps?

• Build wealth and give generously

• Invest in risky ventures and be stingy with money

• Spend recklessly and give nothing

• Live on a strict budget and save aggressively

According to Dave Ramsey, what is the key to financial success?

• Ignoring financial planning

• Winning the lottery

• Following the 7 Baby Steps

• Maxing out credit cards

What does Dave Ramsey recommend as the best way to pay off debt in Baby Step 2?

• Debt avalanche method

• Minimum payments only

• Borrowing more money

• Debt snowball method

What does Dave Ramsey suggest to do with your income in Baby Step 7?

• Invest and give generously

• Donate it to a random stranger

• Bury it in the backyard

• Spend it all on luxury items