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...

Daviess County Traffic Advisory

DAVIESS COUNTY, Ky. (7/5/15) — A contractor for the Kentucky Transportation Cabinet plans a traffic shift in phases… Read More

Recycling Equals Fun During iRecycling Regatta

MADISONVILLE, Ky. (07/04/15) – The second annual iRecycle Regatta took place on Saturday, July 4th at Madisonville City… Read More
1 DOW 17,730.11
-27.80 (-0.16%)    
2 S&P 2,076.78
-0.64 (-0.03%)    
3 NASDAQ 5,009.21
0.00 (0.00%)    

Most Read This Week

July 02, 2015 15106

Emergency Response Team on Scene of Standoff on…

by Doreen Dennis, SurfKY News
July 02, 2015 7544

Police: Stand Off Suspect in Critical Condition

by Doreen Dennis, SurfKY News
June 29, 2015 5740

UPDATE: Victim of Home Invasion/Homicide Died of…

by SurfKY News
June 29, 2015 4429

Accused Synthetic Marijuana Traffickers Appear in…

by Doreen Dennis, SurfKY News
June 29, 2015 3647

Alleged Breast Display Ends in Domestic Assault…

by SurfKY News

Most Read This Month

June 24, 2015 45592

Western Kentucky, Southern Indiana's Largest…

by Doreen Dennis, SurfKY News
July 02, 2015 15106

Emergency Response Team on Scene of Standoff on…

by Doreen Dennis, SurfKY News

Stories Trending Now

July 04, 2015 1477

Happenings and Meetings – Hopkins County

by Tammy Holloway, SurfKY News
July 04, 2015 1261

Heavy Rains Flood Streets Around Town

by Doreen Dennis, SurfKY News
July 05, 2015 1097

More Dental Patients Using ER in Kentucky

by Al Cross
July 04, 2015 957

Kentucky Sees Sharp Rise in Newborn…

by Al Cross
July 04, 2015 926

Recycling Equals Fun During iRecycling Regatta

by Tammy Holloway, SurfKY News
July 05, 2015 865

4th Fest Ends with ‘a Bang’ of Music, Fireworks

by Tammy Holloway, SurfKY News
July 04, 2015 830

Tips for a Safe, Healthy Summer Enjoying…

by Dick Brown
July 04, 2015 761

Annual Fireworks Display Heralds in Fourth of…

by Mike Groves, SurfKY News
July 04, 2015 713

KDA Marketing Chief Tells Panel Kentucky Proud…

by Ted Sloan
July 04, 2015 702

Keeping the Faith - 'Safer among the Christian…

by Ronnie McBrayer