Pick Your Community: | Hopkins | Muhlenberg | Daviess | Christian | Henderson | Lakes | McCracken | Webster

Dave Says - April 14, 2013

dave R 300KENTUCKY (4/14/13) – This week Dave discusses Don’t ask for a Murphy visit and Too much for date night
 
Dear Dave,
Is there ever a time you should dip into emergency fund savings in order to pay off your home early? - Eric

Dear Eric,
The only time I would advise this is when your emergency fund is too big, and you have a very small amount left to pay on the house. Keep in mind that your emergency fund should be three to six months of expenses, not three to six months of income. Besides, paying off the house doesn’t fall into the category of an emergency. The fact that you have to pay for your house doesn’t catch anyone by surprise.

I understand it can be very tempting to throw a bunch of money at your house, get rid of the mortgage payments, and own it outright. But I wouldn’t drain my emergency fund to make it happen—even if it meant being completely debt-free sooner. Life happens, and the moment you write that big check and weaken your emergency fund, the central unit will go out, the roof will spring a leak, or you’ll have major repair issues with a vehicle.

When you do things like that, you’re just begging for Murphy to come visit. And that’s not my definition of financial peace! - Dave

Dear Dave,
My husband and I have a baby and are trying to live on a budget and pay off about $14,000 in debt. He wants to spend $100 a month for a date night, but I think this is too much under the circumstances. I’m a stay-at-home mom right now, and after taxes he makes about $3,200 a month. What do you think? - Ashley

Dear Ashley,
You win on this one. If you’d told me you guys make $150,000 a year, then I’d say he was being completely reasonable. But with your income and a lot of debt to boot, it sounds like he’s just looking for an outlet to spend some money. The good thing is you’re working together and beginning to take this personal finance thing seriously. You’re just a little bit apart on the particulars in this area.

I think you back this amount down to $40 or $50 for now. That’s plenty for a reasonable dinner and perhaps a baby sitter for a couple of hours. If you have family or friends nearby, you might not have to figure baby-sitting expenses into the equation at all. Keep in mind, too, that going out on a date doesn’t have to mean spending money. Years ago, when my wife and I were broke, we did tons of stuff that didn’t cost a dime. Picnics in the park or a pretty hike through the woods are great ways to spend time together while keeping the pocketbook in your pocket.

Be creative and make sure you find ways to have “us” time on a regular basis. But you’re right on this one, Ashley. You can go out and have plenty of fun together without spending a lot of money! - 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 6 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.

© Copyright 2014 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 by using one of the social media links below.

In Other News...

Buffalo Paint Out Brings Regional Artists to Owensboro

OWENSBORO, Ky. (9/22/14) — More than three dozen visiting artists from Kentucky and surrounding states will converge in… Read More

Providence Police Reports Released

PROVIDENCE, Ky. (9/22/14) — The following arrest report was released by the Providence Police Department Monday, Sept.… Read More

Most Read This Week (Site-Wide)

September 19, 2014 4769

Madisonville Man Among Three Arrested for…

in Top Stories by Muhlenberg Sheriff Curtis McGehee
September 20, 2014 3663

Large Cache of Drugs, Cash, Gun Seized;…

in Top Stories by MCSO PIO Alex Piper
September 19, 2014 2867

Five Injured in Two-Vehicle Collision at…

in Top Stories by MPD Officer Russell Nichols
September 19, 2014 2327

Focus on Hopkins County: Crossfire

in News by Focus on Hopkins County
September 22, 2014 2246

Medical Emergency Ends in Drug Arrest at…

in News by Madisonville Police Department

Most Read Stories from Hopkins County

September 19, 2014 2867

Five Injured in Two-Vehicle Collision at…

in Top Stories by MPD Officer Russell Nichols
September 22, 2014 1674

Man Arrested for Slashing Tires

in Top Stories by Madisonville Police Department
September 19, 2014 1502

My Kentucky Roads - Twin Maples Farm in…

in Top Stories by Amber Averitt, SurfKY News
September 22, 2014 1445

Man Strikes Tree, Arrested for DUI,…

in Top Stories by Madisonville Police Department
September 20, 2014 1198

Teams Race to Benefit Hopkins County…

in Top Stories by Ami Clayton, SurfKY News

Most Read Stories from Owensboro

September 20, 2014 1140

Man Charged with Theft After KSP…

in Top Stories by Alexis McGee
September 19, 2014 915

STREET CLOSINGS FOR MONDAY, SEPTEMBER 22

in Top Stories by Abby Shelton
September 19, 2014 894

Police Searching for Hit-And-Run Driver

in Top Stories by Jennifer Smith, DCSO
September 22, 2014 422

Buffalo Paint Out Brings Regional Artists…

in Top Stories by Owensboro Museum of Fine Art
September 19, 2014 391

Owensboro Museum of Fine Art News

in Top Stories by Owensboro Museum of Fine Art

Most Read Stories from Muhlenberg County

September 20, 2014 3663

Large Cache of Drugs, Cash, Gun Seized;…

in Top Stories by MCSO PIO Alex Piper
September 20, 2014 1750

Paradise NRA Banquet Promises Food, Fun,…

in Top Stories by Paul McRee, SurfKY News
September 22, 2014 1551

Third Suspect Charged in Greenville Home…

in Top Stories by MCITF PIO Wes Miller
September 22, 2014 979

Muhlenberg Bass Team Members Score…

in Top Stories by Paul McRee, SurfKY News
September 22, 2014 974

Hundreds Turn Out for Greenville Festival

in Top Stories by Charles W. Riley II, SurfKY News

SurfKY News Group, Inc. Central Office & Printing Division
1125 Nebo Rd.  •  Madisonville, KY 42431  •  270.452.2249 (fax)
Main Number: 270.452.2727 (phone)  •  Printing Division Direct Line: 270.821.8600 (phone)


Contact a member of our staff: www.surfky.com/contact
Copyright © 2014 SurfKY News Group, Inc.  •  Terms of Use  •  Site Map

social 03social 04social 22social 21social 06