Ask most Americans today if they know who Dave Ramsey is, and you’re likely to get an enthusiastic “Yes!”
Ramsey, now 62, has become one of the most well-known personal finance gurus in the country. His radio show and podcast reach over 18 million weekly listeners. He’s authored numerous bestselling books. And he’s built a massive multimedia empire in Nashville, Tennessee, dedicated to helping people get out of debt, budget properly and build wealth.
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An Early Start
Dave Ramsey wasn’t always America’s favorite financial advisor. His journey to becoming a debt-free money expert started one day when he was 12 years old. He went to his dad asking for money to buy an Icee.
As Ramsey tells it, his dad’s response was, “You need a job. You don’t need money.” Taking the advice to heart, Ramsey started his first business, Dave’s Lawns, mowing his neighbors’ lawns.
Throughout high school and into college, Ramsey continued to work hard and earn his own money. He passed his real estate exam right after high school and worked upwards of 40 hours per week during college to help pay tuition. He graduated from the University of Tennessee with a degree in finance and real estate.
After getting married and moving back to Nashville, Ramsey began building wealth through buying and selling property. By 26 years old, he was rich — and had amassed a small real estate empire. He bought luxury cars, jewelry and vacations. By all appearances, he had achieved the American Dream.
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A Great Fall
But Ramsey’s fortune was a house of cards waiting to collapse. He had borrowed up to his eyeballs to fund his lifestyle. And when the banks started calling in loans during a real estate downturn, Ramsey had 90 days to repay millions. His overleveraged bets quickly unraveled. Ramsey was forced to declare bankruptcy, and the sheriff seized all of Ramsey’s possessions to settle his unpaid debts.
Hitting rock bottom was devastating on many levels. Ramsey felt financially ruined and spiritually broken, and his marriage was pushed to the brink.
Revelation of Purpose
But in the darkness, Ramsey had a moment of total surrender and a renewed faith in God. While the bankruptcy left deep scars, Ramsey credits his faith for helping him recover hope during the low point.
In the years that followed, Ramsey discovered a passion for counseling others in their money journeys based on what he had learned. He still felt shame and regret about the past, but he had emerged on the other side transformed. He realized he could connect with people struggling with financial problems, because he had been there.
Ramsey knew he could now help guide others out of dark money situations. Millions of Americans were wrestling with similar issues, and he understood the stress, risk and seductions of debt intimately.
This revelation — that overcoming his own monetary failures allowed Ramsey to lift up others — became the defining money lesson of his career. Leaning into this purpose, he built his financial counseling work into books, courses, radio shows and live events. What started as one-on-one advice became a multimedia mission.
Helping Others Go Debt-free
Decades later, Ramsey has achieved financial stability and wealth again, this time rooted in hard work and discipline, not debt. He’s living proof that sound money principles can work even after major setbacks.
Millions of Ramsey’s followers, from all walks of life, connect with his message that you can take control of your money rather than being controlled by it. You can avoid unnecessary debt that leaves you stressed and vulnerable. You can budget, save, invest and build wealth steadily. It just takes common sense and commitment.
While Dave Ramsey’s first business at 12 sparked his entrepreneurial drive, it was the hard lessons learned from bankruptcy and rebuilding that defined his money legacy. Most importantly, Ramsey embraced the purpose that his journey could help others avoid financial dangers and stresses.
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This article originally appeared on GOBankingRates.com: Dave Ramsey’s First Job Led to Riches at 26: The Most Valuable Money Lesson He Learned
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