‘I’m not where I should be’ Dave Ramsey suggests how woman, 60 can get by in retirement


On The Ramsey Show – Highlights YouTube channel, Susan called in as she was unsure if she was doing the right things preparing for her retirement. She explained that her investments were heavily weighted in two spots which she knew was a risky thing to do.

She said: “I’m turning 60 this year and I know I’m not where I should be. I need to figure it out.

“My investments were heavily weighted in two spots which I know is not the way I’m supposed to be doing it.”

Susan has a lot of equity in her home which is close to getting paid off.

She is a dentist and she has stocks in the company which is privately held.

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As she owns a specific amount of stock in her company and she gets bonuses each month.

Her stock has more than doubled in the three years she has owned it.

It is worth around $519,000 (around £442,000) and her home is worth $600,000 (around £511,000).

In her retirement funds and pensions, she has saved around $257,000 (around £218,000).

Susan has $30,000 (around £25,000) emergency fund and has an annual salary of $400,000 (around £340,000).

Dave said: “You’ve done a great job! The only danger zone is if some bizarre thing happens and this one company goes broke, you would lose one third of your net worth and that’s scary.

“It’s not the end of the world but I don’t want too much in single stock.”

He gave an example of a woman who had $750,000 (around £638,000) in proctor and gamble stock however when she went to retire, the value if the stock went down to $250,000 around £212,000).

As she had it all in one company, she was vulnerable and lost a lot of her money.

Dave suggested that Susan try and cash out half of the money in her company stock.

He said if she can cash out half and still keep her company bonus each month she should because of safety.

Susan owes around $110,000 (around £93,000) on her house, and $43,000 (around £36,000) in student loans.

The money expert said she should focus on paying it off.

Susan wants to semi retire when she turns 65.

She wexplained the money expert that she eventually want to only work two or three days a week as she would not know what to do with herself if it was any less than that.

Dave said: “All you need is perspective but that’s all.”

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