MONEYTALK with Al Suffrin
Whatís the best way to save money for my Ďnewí used car?
Dear Mr. Suffrin: Iím 13-years-old and Iím saving my money so I can buy a car when I turn 18. I earn $60 a month babysitting for neighbors. I also get $40 per month for doing my chores around the house. My mom gives me $10 for every A I make on my semester report cards, and I always get three or four of them, so thatís $60 to $80 per year. She pays for my clothes and other expenses. How much should I save for my car - and where should I put the money? I have $500 in the bank now. - Looking Ahead in Hahnville
Dear Looking Ahead: Assuming youíll be able to earn 5% interest on your savings, the $500 youíve already put away plus the $110 per month you anticipate making will grow to $6,442 four years from now, when you turn 18. Whether the $6,442 is enough for the car and your rainy-day account depends on the type of car you want and what you feel youíll need for a rainy day.
The money should be invested in short-term certificates of deposit (6-month to one year) or a combination thereof. CDs yielding at least 5% are what you want. The CDs should mature on the date the money will be needed for the car purchase. Talk to a banker or broker for details.
Students' questions about finances answered - only in the St. Charles Herald-Guide. Financial expert and school board member-elect Al Suffrin, a certified public accountant, takes on the tough questions from parish kids- and their parents - in an important weekly column everyone should read. Send YOUR questions to: email@example.com or write: MONEYTALK, P.O. Box 1199, Boutte, LA
Subscribe Today and Save!!!
St. Charles Herald Guide is the complete local news in St. Charles Parish, Louisiana.
Get your local news, sports and information from the Parish's award winning paper.
St. Charles Herald Guide has what you need.
Most graduating seniors do not come close to scoring a 27 on the ACT test, but...
Washington, D.C. Ė Today, Congressman Cedric Richmond (LA-02), along with...
The Hahnville Tigers and Desterehan Wildcats baseball teams were well represented...
Two juveniles and a 25-year-old man have been arrested in connection with two...
The Port of South Louisiana will soon see a change in leadership after Joel T....
The Pickets are hallowed ground in the Houma trout-fishing world. If you fish out...
Sereen Beauty Supply, in Luling, specializes in professional hair care products, chemicals, tools, and accessories for all styles and types of hair. Come see the largest wig and hair accessory inventory in St Charles.
Seventh grade whiz kid stuns teachers, parents with ACT score - 715 views
Most graduating seniors do not come close to scoring a 27 on the ACT test, but 13-year-old J.B. Martin Middle School 7th grader Lauren Watson did just that this school year.