Erik, a 27-year-old from St. Paul, Minnesota, has found himself in a financial disaster of his own making. He earns $3,400 a month working as an electrical technician, lives with his wife and two young kids, and has more than $133,000 in debt. Still, that hasn't stopped him from spending money he doesn't have.
$10,000 Monthly Spending While Broke
Erik racked up debt across a dozen Affirm loans and maxed out credit cards, many with interest rates above 30%. His purchases range from the typical–groceries, gas, pet care–to the absurd: ordering DoorDash meals while working as a DoorDash driver. "Sometimes you're too lazy to get out of the car," Erik told financial advisor Caleb Hammer on his recent YouTube show. Hammer stared at him in disbelief before saying, “Doordashing to your parked car, while you’re out there doordashing is insane.”
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At one point, Erik and his wife were spending over $10,000 a month despite bringing in far less. Fast food and delivery alone accounted for $1,500 to $2,000 monthly. He also spends $250 a week on groceries. His checking account was overdrawn by $255 at the time of his financial audit.
Erik owes $41,000 on a Toyota Camry he bought while unemployed. That was in addition to a $16,000 balance on a previously repossessed Ford F-150. He also owes the state of Minnesota $7,000 for unemployment benefits he continued collecting after quitting a contract job.
Despite the chaos, Erik showed little remorse. He smirked while discussing his spending and initially tried to blame his wife. “My wife kind of led me into some debt,” Erik said. “When we got married, I took on some of her debt, but it became my debt.”
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Erik takes 70% of his wife's monthly income to pay bills, even though he doesn't trust her with money. The two keep finances separate to avoid complications, but their approach has only added more dysfunction.
Hammer described Erik as “a creature,” “a degenerate,” and even “the villain” for prioritizing junk food and impulse purchases over his family. “You are the villain. You take all of her money,” Hammer said. “You have kids and yet this is how the finances end up. You’re the villain.”
Erik declared bankruptcy four years ago, but his behavior hasn't changed. Hammer gave him a 0/10 financial score in every category and warned that without serious change, bankruptcy might be back on the table.
After the audit, Hammer called Erik’s wife. When asked how much debt she thought Erik had, she guessed $4,000. He broke the real number to her: $133,779.
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