I Have $50,000 Left Over From College Scholarships
In the lobby of Ramsey Solutions Jona joins us for the question John Holliman. Ramsey thank you very much for taking my question. Sure what's up? So in a little over week, I'm going to be starting my college experience and I'm in a very fortunate position to where I'm receiving hundred thousand dollars towards my college cost Lloyd ago. Thank you however through a number of merit aid scholarships that four year total is going to be about fifty thousand meaning the residual is kind of up there and that's my question is. In the four years that I'm in college. What should what should I do with that fifty thousand that remains Where you going to school that? Ole Miss Bonus or what are you studying chemical engineering with a potential double major in Mandarin Chinese of course. Goodness. Gracious. Wow smoke. That's fun well. Here's the thing. Joni you. The amount of money you can make investing fifty thousand. Pales. In. Comparison. To What The To to what your degree is worth. In the marketplace, so you are a better investment. than. Mutual Fund is. Now granted. We don't need that fifty thousand and we don't think for you to graduate. Now, without debt but if the merit scholarships dropped for some reason, this fifty thousand sitting there not invested Is or not trapped in something is worth more as an insurance policy on you getting through school without that then than any amount of money would make. So let's say it may ten percent Sharon cry so you'd make five thousand bucks. And you. So you'd make in four years you make twenty grand correct, which isn't spit compared to what you're going to be making absolute. Be My. Hope. I think that's fairly predictable with you. Sir. So the You know what you could make on. That is not as good as making sure you get through debt free. So if you WanNa just park it in a mutual fund or a money market account you can if you wanted to put it in a low risk, low volatility, mutual fund or some kind that's fine but you could still lose some of it. I would not put it into retirement account I would not put it into a super long term thing because then you're going to be tempted if you get squeezed to borrow instead of using that money. And again, you're the magic sauce not investing. Investing long-term become the magic sauce, but it'll come from your income that you're going to create. So pretty incredible situation you got yourself into. This is neat. Your Mom and dad did a great job obviously without much merit scholarships you did a great job. So those are academics a lot of them. Yes yeah. Okay. Very cool. So what is the deal with the Mandarin Chinese you want to go on the mission field or something? No. So That's actually through a federally funded program at Ole Miss this a flagship. Mandarin Program, and so I've studied Chinese since middle school and it just so happens that as I was searching for college that program popped up and I was able to go there, visit them at a really good impression and. It seems as if they had a good impression of me. So but I mean, you didn't have there wasn't like mixing that with the chemical engineering and some way that you had a certain goal. It's just you've enjoyed the language exactly Oh. Okay. All right. That makes that makes sense. I thought maybe the two together we're taking somewhere. I didn't know what you were doing. Okay. Might might be international business of some kind but Wow and what a great language to know in today's world. Absolutely. So very cool. Why Shop Guy Man thanks for coming by.