Comments on: Ask Any Question and Ramit and I Will Discuss the Answers

By: fern

fern — Tue, 17 Mar 2009 18:46:44 +0000

Here’s my situation: I am 13 years into a 30-year fixed rate mortgage at 6%. (I refinanced once, about 10 years ago, down from 7%.)

I have been aggressively prepaying the mortgage since day 1 and have a balance of $65,000. If i continue prepaying with an extra $425 monthly, i will have the thing paid off in 7 years, at age 56. My goal then is to pour all the money i’m now paying toward the mortgage with prepayment ($1500 monthly) into retirement savings.

I’m single and have no other debts besides the mortgage.

Does this strategy of continuing to make prepayments make better sense than refinancing and having to spend $3 or $4,000 at closing? (My credit score’s 780, so that’s not an issue.)

By: Ed

Ed — Tue, 17 Mar 2009 15:27:25 +0000

I’m a veterinarian that recently graduated with 130K in student loans. What should be my top priority, paying off the loans or saving up money for a house? Or should I devote 50% of my available funds to both endeavors at the same time?

By: Mr. ToughMoneyLove

Mr. ToughMoneyLove — Fri, 13 Mar 2009 21:17:47 +0000

You use the term “rich”, a word that carries many different connotations. How does one know when he or she is “rich”? Can it be measured objectively? If so, how? Or, if it is a subjective state of mind, how would you describe it?

Thanks.

By: Ellen

Ellen — Fri, 13 Mar 2009 19:20:51 +0000

I’d like to ask about putting together a real, workable budget. Sure, you can analyze your spending for months, and figure out ways to cut costs, but I always seem to end up doing a lot of guessing. How can we discover what is reasonable? For example, what is a reasonably frugal grocery budget for a family of three? What’s a reasonable amount of money to save for car repairs or other occasional expenses? What’s a reasonable amount to spend on clothing? I find that our budget is already necessity-based…very little to purchases or entertainment or the like…so finding even more ways to cut back is a challenge.

I’d also like to ask about the role of faith or values when it comes to spending. I, for example, would like to purchase locally produced, sustainably-grown food. However, it is cost-prohibitive. I would like to send my daughter to a school which will infuse her with values of sustainability, sharing and interdependence. It is cost-prohibitive. I would like to be sure that my home is energy-efficient, using a minimum of non-renewable resources, and a reflection of what is most important. This, too, is cost-prohibitive. How can we balance sustainability with the “luxury” of living more sustainably?

By: Stephanie PTY

Stephanie PTY — Fri, 13 Mar 2009 00:48:45 +0000

What’s a personal finance topic where you don’t practice what you preach? (This one is for both of you!)

By: mykoleary

mykoleary — Thu, 12 Mar 2009 16:34:59 +0000

Would either of you be willing to post a “Cribs” like video of where you live? I think the greatest insight into ‘systems’ is learning more about the people ‘preaching’ them. I’ve gotten lots of great ideas about how to make life faster, easier, more efficient, and what not just from visiting friends to see how they live in their house/apt. If I can get that from them, imagine what doing that at your places could accomplish!

By: RJ Weiss

RJ Weiss — Thu, 12 Mar 2009 15:18:11 +0000

What is one financial move you made, when you were younger, that you most regret?

By: George

George — Thu, 12 Mar 2009 03:32:33 +0000

At what point does one know that he or she is saving too much? Put another way, what factors should somebody look at to ensure that they aren’t sacrificing their happiness in the present by saving too much for the future?

Lots of people have the opposite problem (spending too much today and not savng enough for the future), so what I think you should discuss is how somebody can strike a good balance between spending for today and saving for tomorrow.

By: Matt Huckabee

Matt Huckabee — Thu, 12 Mar 2009 03:01:58 +0000

I’d like to hear your thoughts on dating. I know many of us guys are tempted to take a girl out to fancy dinners and buy expensive gifts, but what are some ideas you have about frugal dating? I guess a lot of it depends on the girl’s personality and if she is comfortable just staying in and cooking dinner for example. What frugal dates have you been on? Any success stories?

By: Kyle

Kyle — Thu, 12 Mar 2009 02:53:42 +0000

If you could give one piece of advice to someone just starting out on there financial journey, what would it be?
What should America do to ensure future generations are adequately prepared to handle money, and their finances?