Ep 0050 6 Figure Income 6 Figure Debt, How Can This Be? with Brian Brandow

6 Figure Income 6 Figure Debt, How Can This Be?

Brian started Debt Discipline as a way to help keep his family accountable as they pay off $109,000 worth of consumer debt. Now debt free, Brian’s mission is to help his three children prepare for their financial lives, as well as others.

http://www.debtdiscipline.com/

 

 

 

Money Learnings: Brian’s parents provided some basic money education including checking and savings accounts but not a lot of conversations around money. Brian’s parents did instill a work ethic in the kids.
Takeaway: You have to have the money conversation. High income doesn’t guarantee wealth.
Action step: Figure out your balance sheet and cashflow statement. You can download both of them here:

Balance Sheet

Cash Flow Statement

Highlights from this episode:

Brian got stuck in the trap of make money – spend money. He didn’t have a plan for his money and as more came in they spent more. Lifestyle creep is real and it can overcome you.

Everyone has debt so why not us? Over time Brian ended up with over $100,000 in debt. They hit rock bottom as they maxed out all their cards and the companies refused to increase his limits.  This was a turning point and forced Brian to look at his numbers and be more focused.

We have to be intentional with our money. Brian started with a simple spreadsheet to track the numbers. He used Dave Ramsey’s simple money maker over and the debt snowball to get his plan together.

Since he was able to clean up his debt he started having the money conversation with his other family members.

It was not easy to in the beginning as they had to change behaviors and find ways to cut back on spending. Happiness increased as they cut spending.

They hit bumps as they went through the program. This time they were in control and they had the money to pay for life happens issues. Brian and his wife’s relationship improved as they spent more time discussing their goals. They also shared the changes with the kids and showed them the income and expenses every month. The kids took the changes in stride.

Why don’t we have more money conversations?

Most people don’t have basic financially literacy and money management skills.

Brian lost his job during the process of getting out of debt. He didn’t expect this to occur, but since his finances were in order he wasn’t that concerned. Jobs are not guaranteed.

We also talk about how Brian’s kids are paying for college.

Brian now teaches other kids about money. He has helped put together a program for his local school district. Students will be required to take a full year class in order to graduate. The program will start in elementary school and continue into the upper grades.

Brian is helping parents have conversations of the cost of college versus how much your degree will provide in income. Does the college and debt make sense for the particular job? Start having the money conversations with the kids.

Previous episode on paying for college: http://richersoul.com/ep-0015-richer-soul-how-to-pay-for-kids-college-with-mike-brown-from-nitro/

Thanks for listening!

https://www.facebook.com/richersoul

http://richersoul.com/

rocky@richersoul.com

Music: https://www.bensound.com

Check out this episode!

One Comment:

  1. Thanks for having me on the podcast Rocky. It was great to speak with you and share my story. Continued success!

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