Well, taking his theory to its logical conclusion, certain very tight knot religious groups believe that your church should be your fallback. So, really, no, you wouldn't need insurance, since your church would help you in times of disaster or emergency. The Amish and really evangelical groups operate this way.
Plus, the theory is to be debt free, except for the mortgage, THEN to be free of the mortgage as well, and if you need to buy another house, pay cash.
Debt leveraging does't really come into play. Which is fine. In a way, it's best for people to be debt free, living within their means, and living simply. In that case, technically, you don't need to leverage debt. You don't need to know much about investing. No debt and a paid-off house and cash savings is more than most people have.
Well, taking his theory to its logical conclusion, certain very tight knot religious groups believe that your church should be your fallback. So, really, no, you wouldn't need insurance, since your church would help you in times of disaster or emergency. The Amish and really evangelical groups operate this way.
Plus, the theory is to be debt free, except for the mortgage, THEN to be free of the mortgage as well, and if you need to buy another house, pay cash.
Debt leveraging does't really come into play. Which is fine. In a way, it's best for people to be debt free, living within their means, and living simply. In that case, technically, you don't need to leverage debt. You don't need to know much about investing. No debt and a paid-off house and cash savings is more than most people have.
Does DR make it clear that his advice is intended only for people who want to live simply and/or are members of insular religious communities, though? I agree that it might be reasonable advice for the Amish or a small subset of Evangelicals, but I was under the impression that he is trying the reach a larger audience and that he includes building wealth as one of the goals to which he speaks. If you really want to build wealth, his advice seems pretty off base.