Dave Ramsey's baby steps

If you've never experienced the Dave Ramsey phenomenon via his daily radio-talk show, or best selling books, you can check him out on his Web site.

Deirdre and I were given an opportunity to see Dave live recently in Dallas. Dave has a lot of great things to say. You really can't argue with the guy actually.

What struck me was his "baby steps" that challenge people to take ideas and put them into practice. It's one thing to know, quite another to do, as we all know who have read self-help books, diet books, exercise books, or even cook books.

Dave is all about getting it done.

Baby step one: "Put $1,000 away form an emergency fund"
Baby step two: "Pay off all debt using the 'debt' snowball"
Baby step three: "Three to six months of expenses in savings"

Find steps 4-7 here: http://www.daveramsey.com/etc/cms/index.cfm?intContentID=2867

Back to step one - Dave also added these fundamental principles of money management

1. You must SAVE money
2. Pay yourself FIRST
3. Give, save, then pay BILLS

While we may see a tension between giving and saving here, Dave's reminding us that it's good to give, right to give, healthy to give, even or especially for those who have the least to give. Give to your community, your church, your favorite non-profit.

Giving aligns the giver and her resources with the world around her. Cool stuff from Dave!