Dave Ramsey

Dave Ramsey’s dogmatic anti-debt stance ignores the mathematical advantage of low-interest leverage, which can boost long-term portfolio returns by 2-3% annually when used wisely. His infamous 12% average return assumption is dangerously misleading—actual S&P 500 historical returns sit closer to 10% before inflation. This rigid advice costs followers opportunity gains that outperform Ramsey’s rigid plan by a measurable margin, especially for those under 40 with time to ride market cycles. Unlike #2 Suze Orman’s overly cautious approach, Ramsey’s blanket ban on borrowing denies the value of mortgage debt that can build equity at rates cheaper than the typical rental market. Without nuance, his audience misses out on proven strategies that mainstream finance benchmarks have validated for decades.