Do You Have Money for College, a Wedding or Divorce?
The Oprah Winfrey Show | March 04, 2009
|
Even though they have to build a new foundation to expand the house, David thinks he can reduce the cost of the kitchen and bathroom remodel to between $80,000 and $84,000. Together, they have $5,100 a month in income, expenses of $3,600 and an emergency fund of $27,000. Seeing that their finances are in decent shape, Suze wants to know where they are going to get the $84,000 for the remodeling. Holly explains that they already have an approved home equity line that they can borrow from. It doesn't take Suze long to approve Holly and David's remodel—but with a small caveat. "Can you [Holly] work a little bit more to make some more money so that your husband feels a little bit more secure in doing this?" she asks. The money lesson everyone can learn, Suze says, is to think before you spend. "If you're about to buy something and you have to put it on your credit card and all you can do is pay the minimum payment on that charge every month, I've here to tell you, you cannot afford it," Suze says. Take control of your money with Suze's 5-Step Financial Action Plan Get tools, calculators and workbooks from Suze Orman Check out more of Suze Orman's money advice Sign up for Suze's newsletter and take control of your financial future! |
