'I'm 59 And Still Owe $258,000 In Student Loans' — Dave Ramsey Caller Makes $60,000 A Year Working Two Jobs And Not Using Her Degrees
In a recent episode of “The Ramsey Show,” 59-year-old caller Laronda revealed she is saddled with $258,000 in student loans, sparking a discussion on the financial challenges older students face. The episode, titled “I’m 59 and Still Owe $258,000 In Student Loans!” captures the caller’s distress over her substantial debt.
Don't Miss:
If the United States had access to today’s high-yield savings accounts rates in 2015, it wouldn’t need to save another penny.
Can you guess how many Americans successfully retire with $1,000,000 saved? The percentage may shock you.
The gravity of Laronda's situation became evident as she explained her employment history and current job role. Despite having a master's degree in accounting, she is in a logistics role at Volvo Trucks, a field unrelated to her primary area of study. She works two jobs and is trying to make the debt "go away."
Ramsey, noting the $258,000 debt, asked about her degrees and questioned why she was earning only $60,000 per year with a master’s degree. She expressed frustration over the disconnect between her education and her job, highlighting a common issue: Her academic training did not adequately prepare her for the technological demands of modern accounting jobs, such as proficiency with software like SAP.
“These are disturbing numbers,” Ramsey said. “You have not monetized your knowledge base very well.”
Ramsey suggested that with her qualifications, Laronda should be earning significantly more — somewhere between $100,000 and $125,000 annually. He urged her to undergo some soul-searching to determine why her income was so low, suggesting that it likely stemmed from her attitude.
Trending: Warren Buffett flipped his neighbor's $67,000 life savings into a $50 million fortune — How much is that worth today?
He also demystified modern accounting practices, saying, “You don't do accounting with calculators and haven't in decades. It's not rocket science; I can do it.”
Ramsey's co-host, George Kamel, chimed in, pointing out that bankruptcy isn’t an option and suggesting she discuss financial contributions with her children to help alleviate the burden so she could eventually retire.
Ramsey emphasized the need for a better “shovel-to-hole ratio,” a metaphor highlighting the crucial role of increasing her income to manage her debt. His advice? “Live on nothing,” he said, advocating for cutting down all nonessential expenses. Any freed-up funds should be channeled toward aggressive debt repayment.
Ramsey believes Laronda can become debt-free within four years but with a stipulation.
“You need to learn to operate a computer,” he said. “You paid a lot for all this knowledge, and you’re not getting anything for it.”
While increasing income is beneficial, it’s not always a guaranteed solution. The job market for experienced accountants, particularly those without recent technological training, can be competitive. Laronda’s age could also be a factor in securing a higher-paying position.
Laronda might benefit from a multipronged approach. Upskilling in accounting software could open doors to better opportunities in her field. Exploring options for income-based repayment plans or loan forgiveness programs could also provide some relief. The best path forward will likely involve a combination of strategies tailored to her specific circumstances.
Consulting a financial adviser can be crucial for those planning for retirement. An adviser can evaluate your financial situation, help set realistic goals and tailor a plan that maximizes your investments. This personalized strategy ensures that your savings are efficiently working toward securing a comfortable retirement, allowing you to focus on living your best life.
Read Next:
The average American couple has saved this much money for retirement — How do you compare?
The shocking amount the average American would save by now if they started an account in 2010 with today’s high yield savings rates will make you run to open your own.
"ACTIVE INVESTORS' SECRET WEAPON" Supercharge Your Stock Market Game with the #1 "news & everything else" trading tool: Benzinga Pro - Click here to start Your 14-Day Trial Now!
Get the latest stock analysis from Benzinga?
This article 'I'm 59 And Still Owe $258,000 In Student Loans' — Dave Ramsey Caller Makes $60,000 A Year Working Two Jobs And Not Using Her Degrees originally appeared on Benzinga.com
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
