From Yahoo Finance: 2025-05-28 11:45:00

A woman with a $38,000 income shared on “The Ramsey Show” that she and her husband lost over $300,000 through day trading, triggered by her husband’s bipolar episode during a complicated pregnancy. Dave Ramsey highlighted the dangers of day trading, with 78% losing money, likening it to gambling.

The couple’s losses resulted from trading an inherited IRA over six weeks. Despite their $316,000 in capital losses, their accountant advised deducting $3,000 per year against ordinary income. Ramsey warned against further risky investments and urged caution given the circumstances.

Ramsey advised against creating new investment income to offset past losses, emphasizing the risks involved, which could further endanger the couple’s financial stability. Seek a second opinion from a tax professional, he suggested, to explore safer alternatives. The story serves as a cautionary tale about the perils of active trading during personal crises.



Read more at Yahoo Finance: Couple With $38K Salary Loses $300K While Day Trading, Dave Ramsey Asks, ‘Where Did You Have $300K That You Could Lose?’