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Monday, March 02, 2009
Dave Ramsey :: Townhall.com Columnist
Gambling Is No Way to Earn A Living
by Dave Ramsey
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Dear Dave,

My brother is 30-years old, and he just lost his job. He doesn’t have any debt, but he’s started gambling in order to make money. He’s won a few times, and when he does he’s very generous with the winnings. Still, how can I make him see this is a disaster waiting to happen?

- Emily

Dear Emily,

You say he’s “started” gambling. Is this new behavior? Is he an addict, or just desperate? That will affect how willing he’s going to be to listen to you. Either way, what he’s doing is really dumb. Sure, you can have a loving, heart-to-heart, sit-down conversation with him, and let him know how much you’re worried. In fact, this is something you should do very soon. But the question remains, is he mature enough and rational enough that it will make a difference?

The movies and cable networks have glamorized poker and the world of gambling. But there’s one sure way to tell whether the house will win or you will win in the long run. Look at your place, and then look at theirs. You may pick up a few dollars here and there by sheer luck, but they throw down millions just to re-decorate a lobby. Where do you think they got that money? From dummies who thought they could beat the system! Really, what he needs is a job!

- Dave

Dear Dave, Continued...

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About The Author
Dave Ramsey is a personal money management expert, popular national radio personality and the author of three New York Times bestsellers.
 
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401(k)s
Dear Dave,
Should we even continue to contribute to our 40l(k) the way the market is falling? Would it be better to just put that money into paying off our homes more quickly, or is there a better place to invest the 401(k)s right now?

Bank Mess
Dave there is a simple way for the country to get out of this bank/mortgage mess. Why not allow people to pay off their mortgage with funds from their 401K (with no penalty or taxes on the withdrawled amount)? The Banks would have an injection of cash. The payoffs might even allow the banks to determine what mortgages are toxic. The goverment should be able to collect more in taxes (less mortgage interest deductions). What do you think?
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