Author: Emma Caplan-Fisher

What would you do if your city placed $366,000 in liens on your home after inspectors observed minor violations like broken window frames, cracked outlet covers and peeling paint?

If you were Lauderdale Lakes residents Kenneth and Mildred Bordeaux, a Florida couple in their 80s, you’d hire a lawyer and fight back.

"I feel like I’m just being beat on with a sledgehammer, and I don’t understand it," Kenneth told CBS News.

Don’t miss

• I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

Their lawyer Ari Pregen says the city’s actions are completely unfair.

“It’s absolutely mindblowing to say ‘We’re going to hold your property hostage and we’re not going to allow you to do what you want with your property, to pass it on to your next of kin and your loved ones, because of window cranks and plastic covers,’” he said.

Now, their efforts — and the media attention — may have borne some fruit.

How minor violations turned into major fines

It all started last year when the Bordeauxs — who rent out part of their duplex to cover bills — evicted a tenant.

When inspectors visited the property following the eviction, they fined the Bordeauxs for six violations, including broken window frames and handles; cracked outlet covers; peeling paint; minor interior door and wall damage; and smoke detectors needing replacement.

The Bordeauxs say they promptly addressed all the issues and made the required repairs.

The problem? City inspectors took 222 days to verify that the repairs had been made. Meanwhile, for every one of those 222 days, the city levied additional daily fines of $1,500 per violation — resulting in the $366,142.70 total.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Their attorney, Ari Pregen, said the situation is unreasonable.

"You can’t charge someone $65,000 for a broken window crank, $55,000 for a broken [cover] plate,” he said.

The couple applied for a lien reduction, a process allowing property owners to request a lower payment on fines or fees owed to the city.

Inspectors only offered a 10% reduction, meaning the Bordeauxs would have to pay more than $300,000 to remove the liens on the property, one the couple want to leave to family members.

"It’s just been absolutely terrible,” Kenneth Bordeaux said.

CBS Miami has since discovered that other Lauderdale Lakes property owners have been hit with excessive fines and liens due to code inspection delays.

The news outlet revealed that in its 2025 budget, the City of Lauderdale Lakes is counting on a 161.4% increase in revenue from fines and forfeitures compared to 2024.

The Bordeauxs’ lawyer notes that levying excessive fines is illegal.

“We have the excessive fines clause for a reason,” Pregen says. “It prohibits excessive fines.”

He continues to negotiate with the city — not only to lower the Bordeauxs’ fines and remove the liens on their duplex, but to urge the city to change its policy to protect other homeowners in similar situations.

In a CBS followup to the story, City Attorney Sidney Calloway rejected the idea that the City of Lauderdale Lakes "acted improperly, has (dragged) its feet or slowed the process" for the Bordeauxs.

However, he did invite the Bordeauxs to meet with him to reduce how much they owe.

And CBS discovered the city attorney also reached out to the local business Levy Realty Advisors — one of Lauderdale Lakes’ biggest taxpayers — to talk about reducing $744,000 worth of liens that resulted from similar delays in city inspections.

How to handle excessive fines on a fixed income

For retired homeowners like the Bordeauxs living on fixed incomes — primarily Social Security and modest pensions — unexpected fines, fees or repair costs can be ruinous.

Without sufficient savings, seniors in such situations may accumulate debt and could lose their homes. The added stress can take a toll on physical and mental health, particularly for seniors who don’t have the resources to navigate complex legal and financial systems.

Legal advocacy and community support can be lifelines. Homeowners facing large municipal fines should first seek legal counsel, especially pro bono services or nonprofit legal clinics that specialize in housing or elder law.

Organizations such as Legal Aid or the AARP Legal Advocacy Group may offer assistance or connect individuals to local resources.

Homeowners on fixed incomes who find themselves in the same predicament as the Bordeauxs should consider doing as they have done and bring media attention to the case to increase public pressure and push local governments to revise their enforcement practices or settlement offers.

Homeowners can also work with housing counselors certified by the U.S. Department of Housing and Urban Development to explore options like financial hardship programs, home equity solutions or income-based repayment plans for liens, where available.

What to read next

• JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
• This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

When Matt from Bismarck, North Dakota, called into The Ramsey Show, he asked if his mom was responsible for his dad’s credit-card debt.

His father, now in assisted living, racked up $18,000 on an American Express card. While Veterans Affairs assistance covers some of his residential care, it’s not enough to cover interest on his debt.

Don’t miss

• I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

That leaves Matt’s 75‑year‑old mom doing her best to pay interest on her husband’s debt. She has no savings and works part-time, three days a week.

Neither Matt nor his sister have the means to eliminate their father’s $18,000 debt. Their parents’ home is paid off and valued at $700,000, but their mom does not want to sell and move.

"In order to save the house, [you’re] going to have to deal with Amex,” Dave Ramsey said, adding that otherwise, “They’re going to just drive her bananas.”

The family’s financial crossroads

Theoretically, American Express could place a lien on Matt’s parents’ home to recover the debt and force a sale — driving Matt’s mother out.

But Ramsey said credit-card companies like American Express rarely take this kind of action, saying there’s less than 0.25% chance of it happening.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

The real concern, Ramsey said, is that Amex’s collections department will harass Matt’s mother relentlessly to get more money.

"They are absolute buttholes,” he said. “They are horrible to deal with.”

Mitigate the damage of parental debt

To shield Matt’s mom and his parents’ home, Ramsey laid out this plan:

For six to nine months — or until the debt “goes bad” — Matt’s mother should stop making any payments on the credit card and refuse to engage with collectors. Ramsey said that means she should not pick up the phone or respond to any inquiries, email or otherwise. During that time, Matt and his sister should save a total of $5,000.

At the nine-month point, or whenever the debt has “gone bad,” Matt and his sister should offer American Express a $5,000 lump-sum settlement (no more) to settle the debt once and for all.

Ramsey added that Matt and his sister should refuse to pay off the debt until Amex agrees to the $5,000 settlement terms in writing — not just over the phone.

If you find yourself in a similar situation, here are some things you can do:

• Know your rights. Unsecured debts don’t legally attach to someone who didn’t co-sign.
• Separate finances. Keep your own credit accounts separate; avoid adding additional liability.
• Document everything. Request written settlement terms. As Ramsey said, “If it’s not in writing, it didn’t happen.”
• Assess legal exposure. Find out whether creditors can file a judgment lien and under what conditions. This will vary from state to state and depend on your specific circumstances.
• Limit communication. Harassment by collectors is regulated. File complaints if needed under the Fair Debt Collection Practices Act.
• Plan liquidity strategy. Even if you have no savings, consider offering up a lump-sum settlement to eliminate your parent’s debt with available equity and/or family contributions.
• Seek professional help. Credit counseling firms and elder law attorneys can aid in navigating intergenerational debt.

What to read next

• JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
• This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

In a startling incident showcasing the unique challenges of Florida living, Courtney Beck and her family were awakened by an unexpected visitor — a large alligator attempting to enter their home.

“That was just not what I was expecting,” Beck recounted to WSVN 7News in a story published May 11. “I thought maybe it was the UPS guy. It was the last thing I was thinking, was a gator.”

Don’t miss

• I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

The family from Wesley Chapel was alerted to the reptile’s presence by their porch camera, which captured the alligator rattling their front door. Now, Beck says, she and her family watch their backs when they leave the house.

The Becks aren’t the only household in the state to report being visited by large, scaly predators as of late. Here’s how they responded, and what homeowners can do to gator-proof their property.

Gators visiting Florida neighborhoods

In April, a homeowner in Lake Mary described a similar experience, per 7News, in which an eight-foot alligator came knocking on the front door.

“There is an alligator at the front door. Do not open it!” a resident is heard shouting in footage shown by 7News.

The local broadcaster reported another incident of an alligator targeting homes in a Fort Myers neighborhood. The loose gator was eventually secured and handed over to a trapper.

Florida is home to approximately 1.3 million alligators, according to the Florida Fish and Wildlife Conservation Commission. Alligators can be found across the state, the group says, and crocodiles can also be spotted by locals, primarily in south Florida.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

How to gator-proof your home

If you live in a place where wildlife encounters are frequent, given the potential dangers posed by large animals, you may wish to review your home insurance policy and consider additional coverage, if available. Companies typically don’t provide compensation for damage caused by small creatures, such as insects, rodents and birds, however, they may be more lenient when it comes to damage from large animals, such as deer, bears and, yes, alligators.

Beyond this, homeowners in Florida may want to gator-proof their property. Here are some measures to consider.

Wildlife removal services: In the event of an alligator sighting, it’s crucial to contact the appropriate public agency or a professional wildlife removal service. The average cost for such services varies widely depending on your specific location and situation.

Alligator-resistant fencing: Installing sturdy fencing can deter alligators from entering your property. Be sure these fences are high enough they can’t be climbed, possibly with the top angled outward, and the bottom several inches underground to deter digging underneath.

Reinforced, screened lanais and patios: Enclosing outdoor spaces can provide an additional layer of protection.

Smart doorbells and motion detection cameras: These devices provide a means for monitoring your home’s entrance, so like the Beck family above, you can see if that scratching at the door is a person or an alligator.

Avoid leaving pet food or garbage outside. Alligators may be drawn to food sources such as trash or pet food left outdoors. Secure all garbage in animal-resistant bins and bring pet food inside after feeding.

What to read next

• JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
• This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

A Phoenix couple’s homebuying joy turned into a cautionary tale after termites, burst pipes and a hidden hole in the wall surfaced just days after they closed on a property.

Hailey and Alex Aguire were thrilled to return to Arizona from the East Coast and settle into a remodeled home they’d secured after a quick house hunt. Just 24 hours before closing, however, they received unsettling news.

Don’t miss

• I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

“We got a call from our realtor who was, like, ‘Hey, they were moving the staging furniture out and found termites,’” Hailey told ABC15 Arizona in a story published May 20. “We just decided, you know, they’re getting it handled that day, so we’ll go ahead and trust that it’s handled. We closed, got the keys and the next day, they were back on the wall.”

But termites were just the beginning of the couple’s problems. Here’s what happened, plus what homebuyers can do to help ensure the same doesn’t happen to them.

Multiple problems post-closing

Despite having hired three companies for inspections ahead of closing, the couple says problems continued to crop up. On day three, pipes burst in the laundry room after they used the washer for the first time. They also found a big hole in the wall hiding behind a battery-operated doorbell.

“I think the termite company and the [inspector] missed a couple of really big things that fell on us to advocate for ourselves a little bit,” Alex told ABC15 Arizona.

Fortunately, the issues were caught early, and the couple says some of the repair costs were being covered by seller credits.

The Aguires decided to share their experience to help other homebuyers avoid similar pitfalls, urging them to work with a good real estate agent, get second opinions on inspections and test every appliance before finalizing a sale.

To avoid similar issues as the Aguires experienced, the National Association of Realtors recommends walking the property alongside inspectors. The group also suggests hiring professionals from organizations like the American Society of Home Inspectors or the International Association of Certified Home Inspectors.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Beyond general inspectors

Aside from general inspections, you may want to enlist additional specialists depending on the type, age and condition of the home you’re looking to buy. Here are some to consider:

Pest inspector: These inspections help identify infestations that can wreak havoc on a home’s structure. Cost can depend on a property’s size and location, and how detailed an inspection is requested.

Structural engineer: For assessing the home, foundation, roof and/or chimney. Price may vary based on the home’s location and requirements.

Septic system inspector: Especially for rural homes, a septic system inspection can be key to ensuring the waste management system functions as it should. Costs may depend on the nature of the inspection and things like tank accessibility and any extra services required.

HVAC specialist: Inspecting heating, ventilation and cooling systems can help ensure they’re running as they should. The cost can go up depending on the system’s complexity and if further tests are needed.

Arborist: Trees near a home can pose a risk if diseased or leaning, so you may want to know how healthy and safe a prospective property’s trees are.

What to read next

• JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
• This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

For the third time, Amanda Sparks, the owner of A&L Sheds, has been arrested — this time, in Montgomery County, Texas.

Authorities allege she scammed more than 100 people out of more than $1 million by promising to build sheds and tiny homes that were never delivered.

Sparks’ previous arrests occurred in Gray and Harris counties, and now a $12 million civil judgment has been issued against her by the Harris County Attorney’s Office.

Don’t miss

• I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

"It’s heartbreaking. It’s very heartbreaking," victim Julia Marino told KPRC 2 News Houston.

"My mother passed away just last month. If I had my $8,100, I could help with her funeral."

A web of victims and a $12 million judgment

Sparks faces felony theft charges after a warrant was issued by Johnson County. According to investigators and victims, she allegedly collected large upfront payments — ranging from $1,000 to $50,000 — often in cash, from individuals and organizations expecting sheds or tiny homes. In many cases, contracts were signed, but no work ever began.

Victims include private citizens as well as vulnerable groups including a church, a domestic violence shelter and even a construction crew claiming it completed work in 2023 but was never paid.

Victim Charlotte Clifford, who says she paid $16,800 up front, recalled her experience to KPRC reporters

"She wrote out a contract — I’ve got the contract, all the paperwork at home — telling us when she was going to start our building. It never happened.”

The fraud unraveled when more than 100 people came together via a Facebook group, where they compared notes and documented their stories, revealing a pattern of broken promises and missing funds. Their collective effort culminated in a complaint submitted to the Harris County Attorney’s Office in late 2024.

Marino, an organizer behind the complaint, emphasized the importance of recordkeeping and speaking out.

"We’re showing a paper trail because we’re all in this together,” she told KPRC News. “We’re trying to get a resolution on this. It’s just taking a little time.”

The result of that work was a $12 million judgment signed at the end of March 2025, which could help victims recover some of their losses.

With housing costs on the rise, more people are turning to tiny homes as an affordable alternative. According to one report, 73% of Americans would consider living in a tiny home.

However, this case highlights how the booming industry has presented an opportunity for scammers.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Watch for red flags and protect yourself from builder scams

If you’re planning to purchase a tiny home, here are some ways to protect yourself. The key is staying vigilant and doing your homework before committing.

Verify builder licensing and references

Ensure your builder is licensed and bonded. Ask for references, check online reviews and their rating with the Better Business Bureau. Reputable builders should have a portfolio of completed projects and satisfied clients.

Get a detailed contract

A legitimate builder should provide a detailed contract outlining timelines, materials, payment terms and guarantees.

Avoid paying 100% up front

Never pay the full amount before any work is done. A deposit, typically 10% to 25%, is reasonable, but further payments should be tied to completed work milestones. Your state may have limits on how much a contractor can ask for up front, check your local laws.

Use escrow services

Escrow accounts protect your money by only releasing funds when both parties meet agreed-upon terms. This is especially helpful for large transactions.

Watch for red flags

High-pressure sales tactics, vague or verbal-only agreements and refusal to show credentials or provide timelines can all be warning signs.

Keep all documentation

Save emails, receipts, signed contracts and messages. This can be helpful in disputes and legal actions, should it come to that.

What to read next

• JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
• This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

When Lexi called into The Ramsey Show from New York, her voice carried the weight of crushing debt and the pressure of years of following flawed familial guidance.

Lexi admitted she’d made a lot of "really bad financial decisions” in order to fulfill her parents’ dreams. They wanted her to pursue medicine.

Don’t miss

• I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

While she didn’t become a doctor, Lexi did manage to graduate with a master’s degree in health administration — and $230,000 in student loans. She only earns $54,000 a year as a care coordinator in New York City. Now her mom wants her to co-sign a mortgage.

Co-hosts George Kamel and John Delony’s top tip for Lexi? To stop listening to her parents.

And as far as her co-signing the mortgage is concerned, that’s a hard no.

Cut the umbilical cord to pay down debt

"They have given you such horrific financial advice up till now,” Delony told Lexi. “You’ve carried their dream as far as you can carry it because now this is your nightmare."

Lexi is a first-generation college graduate. Her parents pushed her to attend expensive private schools hoping she’d become a doctor. In her effort to realize their outsized dreams, she ended up with outsized debt.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Kamel and Delony offered Lexi practical advice on how to start cutting down her crushing debt.

“You have a math problem — a very serious math problem," Delony said. "You’re going to have to get serious about where you can live, where your cost of living is as low as humanly possible.”

She currently shares rent with a roomie in New York, but given her relatively low income and the high cost of living in the Big Apple, Kamel and Delony believe New York is the last place she should live.

Delony advised her to move to a community where she can pull in a much higher salary, for example as a health administrator in a rural hospital, and save more.

Lexi revealed that the main reason she lives in New York is that her mother worries about her moving too far away. Lexi has a chronic medical condition, but is managing it, along with her life, independently.

They encouraged her to embrace that independence and move to a more affordable region, as so many other Americans are doing.

Between July 2023 and 2024, relatively affordable states like Texas, North Carolina, Florida and Tennessee saw some of the highest net migrations, with anywhere from 50,000 and 85,000 people moving in from elsewhere in the U.S.

Vermont, Oklahoma and West Virginia have even introduced relocation incentives. For example, Tulsa Remote offers $10,000 grants to remote workers who move to the city.

Planning a strategic move

Relocating isn’t easy, but for someone in Lexi’s situation, it may be the most viable path to financial recovery.

As Kamel put it, “If you can make $54k in Idaho, you’re going to have a better shot at paying off these student loans in your lifetime … New York City is not the place.”

Here’s what financial experts say to consider in a potential move:

Cost of living. Use tools like MIT’s Living Wage Calculator to compare real expenses in potential cities.

Job market. Ensure comparable or better-paying jobs exist in your field in the new location.

Healthcare access. For those with chronic conditions like Lexi, proximity to care is critical.

Support system. Having community, friends, relatives or another support network is crucial when adapting to a new place.

What to read next

• JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
• This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

A video showing a heated exchange between an Evanston, Illinois, restaurant owner and a customer has sparked a broader conversation about tipping culture in America.

Kenny Chou, who owns Table to Stix Ramen, admits he lost his temper on April 19 when he confronted the customer outside his restaurant for not leaving a tip. The dispute was captured on a smart phone and spread quickly on social media.

Don’t miss

• I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

Chou now regrets “bringing shame to my wife as a husband, as an owner. At the same time, to my mom and dad,” he told CBS News Chicago in a story published April 24.

The incident has stoked debate over a question that seems to grow more divisive by the day: when is tipping expected and when is it optional?

Online fallout and owner’s apology

Backlash following the video was swift. The restaurant deactivated its social media accounts and stopped taking calls. Yelp was also closely monitoring its review page. Messages written in chalk appeared on the sidewalk outside the restaurant accusing the establishment of being anti-Black, according to the local broadcaster.

Chou says the confrontation began when he followed the customer, described as a regular, into the street, intending to tell him he was no longer welcome at the restaurant after he declined to leave a tip multiple times.

“I paid for my food. I handed you $20. You cannot charge more than what the menu says, so what are you talking about?” the customer explained in the video.

According to CBS News Chicago, when asked by a user why he didn’t tip, the customer explained online: “Oh, I just didn’t want to.”

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

Chou has since made efforts to extend an olive branch. He says the customer’s brother visited the restaurant and they had a productive conversation. Chou sent him home with a handwritten apology, the customer’s favorite dish and an offer to reconnect.

“My door is open for you, man. You know, come on by anytime,” Chou said.

Tipping fatigue and rising frustration

The incident hits a nerve at a time when tipping has become increasingly controversial. High prices have led to some consumers tightening their belts. Many Americans have become exhausted by today’s tipping culture.

A survey commissioned by Bankrate in 2024 found that 59% of U.S. adults have a negative view of tipping, while over 1-in-3 (35%) feel things have been taken too far. In addition, around 37% of consumers believe businesses should simply pay employees more rather than rely on tips.

While consumers may be feeling the pinch, service industry workers are, too. Tips often make up a large portion of their income, especially in states where employers can pay them below minimum wage.

This financial tug-of-war is also generational. Bankrate’s tipping survey found that 23% of Gen Z respondents feel tipping has gotten out of control, vs. 40% of Gen X and 46% of baby boomer respondents. In a twist, however, it’s noted that 35% of Gen Z respondents always tip at sit-down restaurants, whereas 56% of millennial, 78% of Gen X and 86% of boomer respondents do the same.

What to read next

• JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
• This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.

After receiving an $8 million settlement following her husband’s fatal workplace accident in 2008, Mikeal, a 53-year-old widow from Charleston, West Virginia, entrusted the money to a close friend who worked at a bank.

Two years ago, she discovered it was gone.

Don’t miss

• I’m 49 years old and have nothing saved for retirement — what should I do? Don’t panic. Here are 6 of the easiest ways you can catch up (and fast)
• Robert Kiyosaki warns of a ‘Greater Depression’ coming to the US — with millions of Americans going poor. But he says these 2 ‘easy-money’ assets will bring in ‘great wealth’. How to get in now
• Gain potential quarterly income through this $1B private real estate fund — even if you’re not a millionaire. Here’s how to get started with as little as $10

"He stole all the money … There was nothing," Mikeal said during The Ramsey Show.

$8 million stolen

The betrayal left Mikeal in a precarious spot. She now lives in a camper on her mother’s property and still owes $12,000 on it. She also has some credit card debt and relies on workers’ compensation benefits from her late husband’s employer.

Unemployed with ongoing expenses, her situation is challenging.

Mikael said she reported the theft and has attorneys working on it, but it appears the money is gone. She may only recover about a couple of hundred thousand dollars. She added that the alleged thief is now in Florida and has done the same thing to other widows.

Recently, Mikeal received a $531,000 malpractice settlement. She said she’s determined to grow that money quickly to secure her future.

Read more: Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan ‘works every single time’ to kill debt, get rich in America — and that ‘anyone’ can do it

What can she do?

Ramsey Show co-hosts George Kamel and Ken Coleman offered a structured plan to help Mikael regain financial stability. They suggested she could sell the camper, use the profits to pay off her credit card and never have debt again. She could also build up an emergency fund with some of the settlement money and invest the rest. Here’s a breakdown of the

• Sell the camper. Selling it could eliminate the $12,000 debt and potentially find more affordable housing options.
• Pay off credit card debt. Clearing her balances would ease financial pressure and improve her credit score.
• Establish an emergency fund. Setting aside a portion of the settlement would give her a cushion for unexpected expenses.
• Invest wisely. Putting the remaining funds into diversified, low-risk portfolios could provide steady growth. Financial experts recommend options like ETFs — SPDR S&P 500 (SPY), Vanguard S&P 500 (VOO) and Vanguard Total World Stock (VT) — to get broad market exposure and build long-term wealth.
• Seek employment. Re-entering the workforce, even part-time, would bring in extra income and add structure to her day.

Kamel suggested Mikeal do something from home, like customer service, since she’s got "a good personality” and “good common sense."

He added she needs to work "for momentum’s sake.”

“It’s not about a ton of money that you need,” Kamel said. “(But) your shoulders will go back a little bit more; your head gets a little higher as you begin to see that ‘I can take care of myself.’"

What to read next

• JPMorgan sees gold soaring to $6,000/ounce — use this 1 simple IRA trick to lock in those potential shiny gains (before it’s too late)
• This is how American car dealers use the ‘4-square method’ to make big profits off you — and how you can ensure you pay a fair price for all your vehicle costs
• Here are 5 ‘must have’ items that Americans (almost) always overpay for — and very quickly regret. How many are hurting you?
• How much cash do you plan to keep on hand after you retire? Here are 3 of the biggest reasons you’ll need a substantial stash of savings in retirement

Like what you read? Join 200,000+ readers and get the best of Moneywise straight to your inbox every week. Subscribe for free.

This article provides information only and should not be construed as advice. It is provided without warranty of any kind.