Dave Ramsey: 5 Rules

By | January 17, 2024

[January 17, 2024]  If you are interested in financial independence, getting out of debt, or want to live life a little easier and not paycheck to paycheck, you might have heard of Dave Ramsey.  He is the guru of financial advice.  And what I like about him is he is blunt.  He tells you the truth and doesn’t care if you like him.  If you are broke and ask a question, then stand back; you are about to get hit upside the head.

Dave Ramsey is a radio “personality” who advises callers on his syndicated radio program (which can also be found on YouTube and other social media).  He has also written several books, such as The Total Money Makeover (2023).

He says that if you implement his five rules, “you’ll not only have more free time to do the things you love…”  [see link here]

I’m not selling Dave Ramsey as a financial advisor because he admits that he is not a certified financial advisor.  But he has hit upon a formula that helps people drag themselves out of the heavy burden of debt.  And that is doing us a great service and is why I hope you pay attention to what he says.

 “I’m not shallow enough to say that money will make you happy.  Money will not make you happy.  If you get more money, it will make you more of what you are right now.  If you are miserable, and you get money, you will be a lot of miserable.  If you’re a jerk and you get money, big jerk.  Money is not going to solve your problems; it’s going to make them bigger.  It’s also going to make your opportunities bigger.” – Dave Ramsey.

He says that we all live in a cause-and-effect world.  You will harvest what you plant.  He is saying what I’ve also been saying for a long time.  You are responsible for your actions; what you do will determine where you go in life.

If you follow his five rules, he says you will build wealth 100% of the time.  Note the similarity of these five rules to what I’ve been saying about being a good person.

  1. Get on a budget, a written plan, on paper, on purpose, and do it every month.
  2. Get out of debt. You do this first by getting out of debt by not borrowing anymore.
  3. Foster high-quality relationships. There’s a high correlation between those building wealth and those they hang around with.
  4. You need to save and invest. Wise people save money.  Smart people invest properly.
  5. Be generous. Being generous means attracting other generous people.  They also smile more, and they’re not grouchy.  This is a spirit of giving that infuses you.

The good thing about this advice is that you can begin today.  It’ll change your life, and importantly, it will change the lives of your family and those around you.


Please read my books:

  1. “55 Rules for a Good Life,” on Amazon (link here).
  2. “Our Longest Year in Iraq,” on Amazon (link here).
Author: Douglas R. Satterfield

Hello. I provide one article every day. My writings are influenced by great thinkers such as Friedrich Nietzsche, Karl Jung, Aleksandr Solzhenitsyn, Jean Piaget, Erich Neumann, and Jordan Peterson, whose insight and brilliance have gotten millions worldwide to think about improving ourselves. Thank you for reading my blog.

19 thoughts on “Dave Ramsey: 5 Rules

  1. Veronica Stillman

    Excellent article. Yes, indeed, these five rules are similar to Gen. Satterfield’s rules for a good life.

  2. Eddie Gilliam

    Excellent job. Now let’s looking at what God has told us how to be financially successful.

    Tithing in the Bible

    Is tithing mentioned in the Old Testament or is it an Old Testament practice of the law? What is the purpose of tithing? There are many questions around tithing and giving money to the church and God’s Word has plenty to say about it! Money is mentioned over 800 times in the Bible! God knew money would be something we would hold tightly to and place a lot of importance on. Let’s take a look at what the Bible says about tithing and giving 10% back to God. The below Bible verses should help you decide how you can thank God for what He has blessed you with.

    Proverbs 3:9-10
    Proverbs 3:9
    9 Honor the LORD with your wealth, with the firstfruits of all your crops;
    10 then your barns will be filled to overflowing, and your vats will brim over with new wine.

    Nehemiah 10:35-37
    35 “We also assume responsibility for bringing to the house of the LORD each year the firstfruits of our crops and of every fruit tree.

    Leviticus 27:30-34
    30 “ ‘A tithe of everything from the land, whether grain from the soil or fruit from the trees, belongs to the Lord.

    Malachi 3:8-12
    Give all you have, and have faith that God will provide the rest!
    8 “Will a mere mortal rob God? Yet you rob me. “But you ask, ‘How are we robbing you?’ “In tithes and offerings.
    9 You are under a curse—your whole nation—because you are robbing me.
    10 Bring the whole tithe into the storehouse, that there may be food in my house. Test me in this,” says the LORD Almighty, “and see if I will not throw open the floodgates of heaven and pour out so much blessing that there will not be room enough to store it.
    11 I will prevent pests from devouring your crops, and the vines in your fields will not drop their fruit before it is ripe,” says the LORD Almighty.
    12 “Then all the nations will call you blessed, for yours will be a delightful land,” says the LORD Almighty.

    When we rob God by not observing his commands of tithes and offerings we are cursed. Cursed not having enough money to pay bills;cursed with health care issues. I am a tithes and offering payees. Doing so; I have gotten checks in the mail for hundreds of dollars unexpected. I am debt free. I was in debt years ago in 30,000 dollars. But I still made a decision to pay my tithes.

    1. Desert Cactus

      Thank you Eddie for once again bringing us back to the Bible and what God tells us and the truth.

  3. Elsa Johnson

    “Foster high-quality relationships. There’s a high correlation between those building wealth and those they hang around with.” – Dave Ramsey. I like this idea and Gen. Satterfield has been writing about this for ages, not from the financial side of life but from the balanced life side of the equation. Thank you Gen Satterfield for highlighting Dave Ramsey. 👍👍👍👍👍👍

  4. Bryan Z. Lee

    Ramsey is most famous for his “baby steps,” in order:
    1. Saving up a small emergency fund
    2. Paying off all debt except your home
    3. Saving up three to six months of living expenses in an emergency fund
    4. Saving for retirement
    5. Saving for children’s college
    6. Paying off your mortgage
    7. Building wealth and giving
    If you’re like me and Gen. Satterfield, discourage your kids from going to college today, because they are just propaganda machines, so remove #5.

    1. Dennis Mathes

      But overall this is a great list of progressively workable ways to get yourself on the right track. It does involve pain if you are in debt.

  5. Elizabeth Schröder

    Very good article on the basics of Dave Ramsey’s method of being better off financially. ❤

  6. Max Foster

    Gen. Satterfield is right when he says “Note the similarity of these five rules to what I’ve been saying about being a good person.” The similarities are striking. There is something, then, about how to be a better person and that means following proven ways of doing well. Sometimes that means sacrificing your ego and not buy that expensive house or car or fur coat, well you get the idea. Keeping up with the Jones’ does NOT work. Live within your means. Sometimes that is hard but the only way to do it right.

  7. Unwoke Dude

    His main advice is “Get on a budget, a written plan, on paper, on purpose, and do it every month.” That works unless you are stupid. 👍

  8. Kerry

    Dave Ramsey recommends mutual funds rather than ETFs. An article on his website gives a number of justifications for this position. Unfortunately, Ramsey casually dismisses the fact that ETFs tend to have much lower fees than mutual funds. And that matters. Investment fees cost you big time — tens of thousands of dollars in lost returns over time, especially when investing on a long timeline. Just my thoughts. Read it somewhere but cannot remember where but still a good criticism of Dave R’s methods.

  9. Edward G.

    Get your financial advice from him but be aware that he pushes the scorched earth policy of getting your finances in order. If you are a Gen Z or stupid young person, you will be “triggered” by his advice because, as Gen. Satterfield says, he is brutally honest. But what he recommends does work.

    1. Mikka Solarno

      Well said, Edward. Dave Ramsey has now started, actually some time ago, having some young people who approve of his way of giving financial adivce on his show. Makes for more interesting dynamic.

      1. Pooch T.

        True. I still love listening to his show. Both very educational, shocking sometimes, always valuable. But Edward is right, Dave Ramsey takes the hard discipline route and weak people can’t do it. 🤷‍♂️🤷‍♂️🤷‍♂️🤷‍♂️🤷‍♂️


Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.