Can I Afford To Spend Money On Job Training?

finance

7th February 2024 | 00:03:48

Can I Afford To Spend Money On Job Training?

Can I Afford To Spend Money On Job Training?

Star Rating

TLDR: Jeremy and his new wife are in a custody battle, and he has the opportunity to upgrade with his company which would double his income in six weeks. However, to do this, they would need to take $4,000 out of their sinking fund for lawyers and rent an airplane to get the required flight hours. They have $10,000 in cash, but their cars are worth only $1,800 combined. Dave Ramsey advises Jeremy to spend the money and double his income, as it is a good investment in his career, but warns him to be prepared for potential future legal expenses.
Jeremy, a pilot embroiled in a custody battle, grapples with a difficult financial decision on The Dave Ramsey Show. With a compelling opportunity to upgrade his position at work, he faces the dilemma of either withdrawing $4,000 from his legal sinking fund to invest in flying hours or jeopardizing his career for the sake of securing his child's custody.
Jeremy and his wife had diligently accumulated $9,000 in their legal sinking fund, diligently adhering to the principles of Dave Ramsey's Baby Step Two. However, the sudden emergence of this unexpected expense triggered uncertainty, compelling them to seek expert guidance.
Their combined household income stands at $65,000, but with the upgrade, Jeremy's salary alone would double to approximately $130,000 in just six weeks. This career-defining opportunity presented a profound quandary: prioritize financial security or risk losing custody of their child.
Dave Ramsey acknowledges the significance of this decision, emphasizing the urgency to seize the opportunity to boost their income. The potential benefits of increased earning power outweigh the immediate need for a fully-funded legal sinking fund.
Nevertheless, Ramsey cautions Jeremy against depleting all their savings, leaving them vulnerable to future emergencies or unexpected legal expenses. He advises them to carefully assess the trajectory of the custody battle, the anticipated legal fees, and their long-term financial projections.
Given the imminent nature of the custody battle and the projected six-week timeframe for the upgrade, Ramsey believes it's prudent to pursue the career advancement while acknowledging the potential need to replenish their legal sinking fund in the near future.
Jeremy expresses gratitude for Ramsey's counsel, finding reassurance in the decision to invest in his career while acknowledging the need for continued financial prudence.
##FAQ: Q: What is the dilemma that Jeremy and his new wife are facing?
A: Jeremy and his new wife are in the middle of a custody battle, and Jeremy has the opportunity to upgrade with his company, which would double his income in six weeks. However, to do this, they would need to take $4,000 out of their sinking fund for lawyers. This decision is complicated by the fact that they have a limited emergency fund and are still in Baby Step 2 of the Ramsey Plan.
Q: How much money do Jeremy and his wife have in their lawyer sinking fund and emergency fund?
A: They have a total of around $10,000 in their lawyer sinking fund and emergency fund combined. However, only about $9,000 of that is in cash, as the rest is tied up in their paid-off cars.
Q: What are Jeremy and his wife's household incomes currently and what would it be if Jeremy upgrades with his company?
A: Their current household income is $65,000. If Jeremy upgrades with his company, their household income would increase to $115,000-$120,000.
Q: Why is Jeremy considering taking money out of their sinking fund for lawyers?
A: Jeremy is considering taking money out of their sinking fund for lawyers to pay for the additional flight hours he needs to upgrade with his company. This would allow him to stay in their current location and potentially improve their chances of winning the custody battle.
Q: What are the potential risks and benefits of taking money out of the sinking fund for lawyers?
A: The potential risks of taking money out of the sinking fund for lawyers include having less money available for emergencies and potentially jeopardizing their progress in Baby Step 2. The potential benefits include increasing Jeremy's income and potentially improving their chances of winning the custody battle.
Q: What is Dave Ramsey's advice to Jeremy and his wife?
A: Dave Ramsey advises Jeremy and his wife to go ahead and take the money out of their sinking fund for lawyers to pay for the additional flight hours. He believes that this is a good investment considering the potential increase in income and the importance of the custody battle. However, he also cautions them to be mindful of their emergency fund and to make sure they have enough money set aside to cover any unexpected expenses.

Browse More From finance

CN

Admin @jake_eacc

7th February 2024

Youtube Link