Someone Finally Snapped On Financial Audit
Financial Audit
Deep Dive
What is Avery's monthly income and how does she manage it?
Avery earns approximately $2,500 monthly from her nanny job, including extra tasks like laundry and organization. She spends most of her income on bills and discretionary expenses, often blowing the rest without paying down her debt.
Why is Avery's financial situation considered dangerous?
Avery’s financial situation is dangerous because she relies heavily on her boyfriend and family for support, has significant debt, and lacks an emergency fund or retirement savings. If her relationship ends or her family can no longer support her, she would struggle to survive independently.
What is the total amount Avery owes her family in IOUs?
Avery owes her family a total of $17,483 in IOUs, which includes money for bills, groceries, and other personal expenses over the years.
How does Avery's reliance on her family impact her financial independence?
Avery’s reliance on her family enables her to avoid taking full responsibility for her finances. This dependency prevents her from building an emergency fund, paying off debt, and achieving financial independence, leaving her vulnerable if her support system were to disappear.
What steps does Caleb suggest Avery take to improve her financial situation?
Caleb advises Avery to stop using credit cards, create a strict budget, increase her income by working more hours or taking on a second job, and prioritize paying off her debt. He also emphasizes the need for her to build an emergency fund and take control of her financial behavior.
What is Avery's Hammer Financial Score and why is it so low?
Avery’s Hammer Financial Score is 1 out of 10. This low score is due to her lack of savings, significant debt, no retirement plan, and poor financial management, including overspending and not paying taxes.
Why does Caleb suggest calling Avery's family in the post-show?
Caleb suggests calling Avery’s family in the post-show to discuss her financial situation and the extent of her reliance on them. This is to highlight the enabling behavior and encourage Avery to take responsibility for her finances.
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