A Mississippi man thought he was doing the right thing by stepping in to help his parents with a tax bill. But when he explained the situation on “The Ramsey Show,” personal finance expert Dave Ramsey said that the plan could make things worse.
Brandon called into the show because his parents owe about $27,000 in taxes for 2024. His mother receives 1099 income and earns around $130,000 a year, while his father brings in about $90,000, putting their household income at roughly $210,000 annually.
Brandon said a late 1099 form arrived, increasing the amount owed. His parents had money set aside for taxes but ended up using it for other expenses, including housing-related repairs.
Because they didn’t have the full amount…