dave R2 300KENTUCKY (12/16/12) – This week Dave discusses  tuition payment plan and Stop, emergency ahead!
 
Dear Dave,

Our son is graduating from high school next spring. We’ve saved cash to pay for his first year of college, and we have enough in mutual funds to pay for another semester. When should we pull out the money to use for his education? - Denise

Dear Denise,
I wouldn’t touch the money until right before you write the checks. However, I don’t want you to follow my advice just because I said so. My mutual funds have made a little more than 16 percent this year. If they stay at that pace, or if they make just 10 percent during the first part of 2013, I’d want it to just sit there a while longer. Why not let the power of compound interest do its thing and make you as much money as possible?

The biggest question is what are you going to do for cash after the first three semesters? Your son needs to make sure he’s working summers, and maybe even part-time during school, in order to fuel his education. And neither of you should borrow money to make it happen. You guys have gotten him off to a great start. So if he does his part there’s no reason for either of you to go into debt for his college degree! - Dave
 
Dear Dave,
If someone is following your plan, and they experience a health crisis, should they stop putting money into their debt snowball? - Dave

Dear Dave,
Absolutely! When you’re stuck in the middle of an emergency you always push the pause button on your Total Money Makeover and save as much as you can.

Think of it this way. Cash is your umbrella when it rains, and you never know just how bad the storm will be or how long it will last. Even if you have great health insurance, you’re likely to end up paying a chunk out of pocket in situations like this. That’s why it’s important to have a big pile of cash on hand.

Remember, things like this are often just a bump in the road. They can be expensive, but taking care of important issues doesn’t have to mean giving up on taking control of your finances. Take care of immediate issues with yourself or your family first. Then, the come back when things are better and pick up where you left off on your Total Money Makeover! - Dave

* Dave Ramsey is America’s trusted voice on money and business. He’s authored four New York Times best-selling books: Financial Peace, More Than Enough, The Total Money Makeover and EntreLeadership. The Dave Ramsey Show is heard by more than 5 million listeners each week on more than 500 radio stations. Follow Dave on Twitter at @DaveRamsey and on the web at daveramsey.com.


Disclaimer: The content supplied by columnists and letters to the Editor on this site does not in any way, shape or form, implied or otherwise, necessarily express or suggest endorsement or support of any of such content, statement, or opinions therein. SurfKY News does not necessarily adhere to or endorse content provided by outside non-staff sources.

e-max.it: your social media marketing partner

LIKE SurfKY on Facebook - Click here to LIKE us now.

© Copyright 2015 SurfKY News Group, Inc. All rights reserved. This material may not be published, broadcast, or rewritten without permission. SurfKY News encourages you to share this story on social media.

In Other News...

Henderson County-Owensboro Catholic Scrimmage Set for KWC

OWENSBORO, Ky. (7/31/15) — The Henderson County and Owensboro Catholic football teams will meet on a neutral field for… Read More

Owensboro, Hopkinsville Scrimmage Set for Aug. 14

OWENSBORO, Ky. (7/31/15) — No strangers on the gridiron, Hopkinsville and Owensboro will meet for a scrimmage on Aug.… Read More
1 DOW 17,689.86
-56.12 (-0.32%)    
2 S&P 2,103.84
-4.79 (-0.23%)    
3 NASDAQ 5,128.28
-0.50 (-0.01%)    

Most Read This Week

July 27, 2015 5663

Death of Central City Man in Dawson Springs Under…

by SurfKY News
July 27, 2015 3734

School System Announces Free Lunch/Breakfast at…

by SurfKY News
July 30, 2015 2752

Webster Man Leads Police on Chase through Parts…

by SurfKY News
July 31, 2015 2707

Miss Hopkins County Fair 2015 Chosen

by Tammy Holloway, SurfKY News
July 28, 2015 2427

Hanson, Owensboro, Bowling Green Youths Win at…

by Tammy Holloway, SurfKY News

Most Read This Month

July 02, 2015 19783

Emergency Response Team on Scene of Standoff on…

by Doreen Dennis, SurfKY News
July 17, 2015 16072

Muhlenberg Most Wanted - Top 10

by SurfKY News

Stories Trending Now

July 30, 2015 2752

Webster Man Leads Police on Chase through Parts…

by SurfKY News
July 31, 2015 2707

Miss Hopkins County Fair 2015 Chosen

by Tammy Holloway, SurfKY News
July 29, 2015 1495

24th Annual Miss Teen Hopkins County Fair Pageant…

by Tammy Holloway, SurfKY News
July 29, 2015 1162

Hanson City Council Discusses Boundaries, Zoning

by Tammy Holloway, SurfKY News
July 31, 2015 1106

Little Miss, Mister Hopkins County Fair Chosen

by Tammy Holloway, SurfKY News
July 30, 2015 1013

UPDATE: Body of Missing 8 Year Old Found; No Foul…

by SurfKY News
July 30, 2015 932

Madisonville Police Arrest Reports Released -…

by SurfKY News
July 31, 2015 650

Hopkins District Court Fines Handed Down

by SurfKY News
July 30, 2015 600

Two Teens Face Multiple Charges Including Burglary

by SurfKY News
July 30, 2015 521

UK Women's Golf Announces Strong 2015-16 Schedule

by SurfKY News