As you can see from my Net Worth widget, I just had a big dive. I started tracking my net worth just before my first tuition payment. My first quarter cost about $13,000. I paid about half cash and took out a student loan for the other half.
Why would I take out loans when I have enough cash on hand to pay them off? I have enough saved to do roughly the same each of my six quarters of school. At the end I will have about nothing.
I have two loans right now. One is a car loan, the other is my student loan. I will get into the ups and downs of car loans in a later post.
In the future, I expect my net worth to go down and down six times throughout school. At the end, I plan to watch it go up and up. While in school, I am working and saving for retirement. With fund prices so low, it is a good time to buy.