My father always told me that the only things in life I should borrow money for were a home, a home improvement, and my education.
Everything else should be paid for with cash.
“If you can’t afford to pay with cash, you can’t afford it,” he told me.
I think this is good advice for everyone, including family child care providers.
This means that child care providers should pay cash for their car.
Of course this is difficult for many to do. Most child care providers, like everyone else, put some money down and take out a loan to buy a car. As a result, you pay interest on your loan. Money you spend on interest could instead be used to meet other short or long-term financial goals.
Here’s a plan for how to establish a car replacement fund that will allow you to pay cash for your car.
Childcareinfo.com is a community for family child care providers and parents that offers a wide variety of resources including recipes, a blog, and a newsletter. It serves as a clearinghouse for many online resources (children’s activities, training opportunities, equipment, and more).
Childcareinfo.com was created by Minute Menu (now KidKare) to offer free assistance that will help the family child care community grow.
Tom Copeland – www.tomcopelandblog.com
Image credit: https://www.flickr.com/photos/table4five/
For more ideas about how to manage your money, see my book Family Child Care Money Management and Retirement Guide.