Dovetailing Dave Ramsey’s Baby Steps and the Money Game

Can you play the Money Game while working through Dave Ramsey’s 7 baby steps? Absolutely!

Baby Step 1 is to save $1,000. That’s the perfect place to start.

If you’re now on Baby Step 2, I think paying off debt has first priority. You can play the Money Game at the same time. Here’s how I would approach it:

Leave your $1,000 BEF alone. That money is sacred and is only to be spent in case of an extreme emergency (it’s to keep you from having to use credit cards).

Your snowball goes for paying off debt just as Dave Ramsey teaches.

Meanwhile, it’s advised that you have a small amount of money each month for personal spending even during Baby Step 2. Get your first $5 from your personal allowance and grow it from some type of sales. This is where you buy something undervalued from a yard sale (yard sales get easier all the time thanks to Facebook) and sell it at a higher price.

There are apps available to scan book bar codes for their market value. That’s one way to find an undervalued item. You could bake some 5 minute artisan bread and sell a loaf for pennies on the dollar. My chiropractor’s daughter knows how to scope out insane deals on high end clothing and resell using an app called LetGo. Use ibotta rebates if you were going to buy that item anyway.

So let that $5 come from your own personal spending and then make that $5 work for you. You’ll be at an advantage. By the time you finish Baby Step 2 you’ll KNOW how to make your money make money. You will go nuts with Baby Step 3 (saving 3-6 months of income for your fully funded emergency fund).

I found another power-up today by spending time reading government web sites on social security earnings and taxes. I withheld too much. I’m taking $50 out of that category and moving it to the money game. I still think I’m withholding too much as it seems only half the amount will actually be taxed but I know George will want to err on the conservative side.

Level Completed: 165 out of 251
Amount Deposited this month: $1,870.48
Total Balance: $16,217.54
Our Money Game fund has increased 13% so far this month.

$241.09 is needed to reach the next level

New? Start here …

Google Doc spreadsheet showing all 250 levels of the Money Game

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