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0 of 3 Premium Clicks used this month SUBSCRIBE Print + Online Subscriber Activation | Register x Forgot Password | Need an Account? e-edition | subscribe | newsletter | deals Classifieds Jobs Autos Real Estate FEATURED » NEWS NOW Josephine County brothers die in single-car crash ... Since You Asked: Pedestrians can be cited for carelessness ... Wolf once believed to be dead shows up near Crater Lake ... Josephine County brothers die in single-car crash ... Since You Asked: Pedestrians can be cited for carelessness ... Wolf once believed to be dead shows up near Crater Lake ... Dave Ramsey: Dad's career choices aren't working Comment By Dave Ramsey More Content Now MailTribune.com By Dave Ramsey More Content Now Posted Apr. 1, 2015 at 12:01 AM By Dave Ramsey More Content Now Posted Apr. 1, 2015 at 12:01 AM » Social News Dear Dave, My parents are going through a divorce, and money issues are a big part of the problem. My dad bought several rental properties and poured money into them. Then he lost them to foreclosure and isn’t making a lot in his new commission-based job. How can I, as a 25-year-old kid, tell him that his career choices aren’t working? Ryan Dear Ryan, I’m sorry to hear about your mom and dad. Divorce is never an easy thing, no matter how old you are. You’ve probably heard lots of old sayings about how winners never quit. Well, in many cases those are false statements. Winners and successful people quit all the time; they quit doing things that aren’t working. This doesn’t have to mean that you quit on a dream, but it could mean you change the methodology you’re using — especially if it’s not getting you anywhere. Part of being a successful entrepreneur is having the ability to recognize when something isn’t working and change it. You sound like a smart, caring young man, but there’s little chance that a twenty-something with very little life experience will be able to convince his father of these things. I mean, he’s probably in his 50s, right? Plus, he’s going through a divorce, and it sounds like he’s broke and emotionally worn out. You’ve got a great heart, and I’m glad you care enough about your dad to try and help him. But in this scenario, I think he needs to talk to someone like a pastor, or even an older relative or good friend closer to his own age — a guy with a little more life experience. Maybe you could talk to someone like this and explain what your dad is going through. Ask them to talk to him, and see if he’ll open up to some new ideas. In the meantime, just be there for him and show all the support you can. You’re a good son, Ryan. — Dave Just a theory… Dear Dave, Let’s say you have $1 million in the bank. Why would you take out $300,000 to buy a house, instead of just making a 20 percent down payment and keeping the rest of the money in mutual funds to make more money? If need be, I could still pay off the house. Alex Dear Alex, Interesting question. OK, I’m game. The spread that you’d make between even a high-interest rate mortgage — let’s say 6 percent — and mutual funds at 11 percent or so, is about 5 percent. And that’s assuming nothing goes wrong, and you can get your mutual fund out if needed. What you’re talking about is theory, and what I’m talking about is actual life. In your theory you’ve left out two major issues: paying taxes on the mutual fund, which would make your yield less, and risk. You’ve compared a zero-risk investment with a risk investment, and you shouldn’t do that. You must factor in risk so you can accurately compare one investment to another. Every time you pay off a mortgage, the bank no longer charges you interest. That’s zero risk compared to a mutual fund, which does have risk. Remember, if your house was paid for you wouldn’t borrow $300,000 against it to invest in mutual funds! — Dave Dave Ramsey is America’s trusted voice on money and business. He has authored five New York Times best-selling books, including “The Total Money Makeover.” “The Dave Ramsey Show” is heard by more than 8.5 million listeners each week on more than 550 radio stations. Follow Dave on Twitter at @DaveRamsey and on the Web at daveramsey.com . By Dave Ramsey More Content Now MailTribune.com By Dave Ramsey More Content Now Posted Apr. 1, 2015 at 12:01 AM » Comment or view comments Reader Reaction » STAY INFORMED Email NewsLetter Sign Up Today Sign up for our newsletter and have the top headlines from your community delivered right to your inbox. Southern Oregon Directory Featured Businesses Loading... 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