This man from Toronto feels broke making $73,000 a year — his wife recently left him and he has an 18-month-old child. Here's what Dave Ramsey told him

Budget duties

It’s common in marriages for one partner to take the lead in handling the household budget.

If you’re not used to doing this type of work, you may struggle, if the relationship falls apart and suddenly the responsibility drops on you. According to RBC’s 2024 Relationships and Money Poll, 77% of couples were stressed about money.

To be fair, Elliot says he crafted a budget that should be leaving him $300 in savings every month. However, he hasn’t been able to stick to his plans and that excess money always seems to disappear.

Ramsey believes Elliot’s emotional distress could be the reason why his budget plans haven’t worked out as expected.

Unexpected vet bills don’t have to break the bank

Spot Pet Insurance offers coverage for treatment of accidents, illnesses, prescriptions drugs, emergency care and more.

Plus, their preventative care plan covers things like routine check-ups, microchip implantation, and vaccinations, if you want to give your pet the all-star treatment while you protect your bank account.

Get A Quote

Emotional spending

Following a budget is difficult enough in most circumstances, but having to do so while also grieving the end of a marriage can be even more difficult.

“If you’re spending time eating out because you’re lonely or you’re spending time doing whatever that costs money because you're lonely, make sure you recognize that and you’re writing it down,” Ramssey told Elliot. “I mean you're going through a heartbreak right now. This is a hard time emotionally and that hard time will show up in the money if you don't get on the other side of it and crack the whip on it.”

Breakups often lead to changes in housing expenditures and child care expenses that must be taken into account. But it’s also common for consumers to spend when they’re feeling blue.

Research conducted by the Bank of Canada suggests that acute financial stress is weighing on consumers’ spending decisions — and this can lead to spending less or more.

Elliot didn’t confirm or deny that he’s overspent due to his emotional state, but he did admit he may not be very attentive of his spending throughout the month. Ramsey recommended a proactive approach by planning for every dollar spent before the month starts and tracking spending as time goes on.

“The only way to make the money behave is, before the month starts, write every dollar down and where it’s going to go,” he advised. “You’re in charge of it, but you need to tell it what to do.”

Sources

1. YouTube: I feel Broke Making $73,000 a year (Jan 6, 2025)

2. RBC: Finances and feelings: Harsh economic realities taking a toll on relationships among Canadian couples - RBC poll (Dec 12, 2024)

3. Bank of Canada: Measuring household financial stress in Canada using consumer surveys (March 28, 2024)