Core Insights - The article discusses a debt situation faced by a caller on The Dave Ramsey Show, highlighting the challenges of managing student loans and Parent PLUS loans totaling $170,000 against a salary of $91,500 [2][3] - Ramsey advocates for the debt snowball method, emphasizing the importance of psychological momentum in debt repayment rather than focusing solely on interest rates [3][5] - The financial implications of Parent PLUS loans are significant, with a fixed interest rate of 8.94% leading to substantial annual interest costs [3][6] Debt Management Strategies - The debt snowball method involves paying off the smallest debts first, which in this case means starting with the $7,000 private loan, followed by the $13,000 federal loan, and then addressing the Parent PLUS loans [5] - The urgency of addressing Parent PLUS loans is underscored by the potential for the balance to increase to $175,000 without aggressive repayment strategies [3][7] Financial Responsibility and Family Dynamics - Parent PLUS loans create a complex situation where they are legally the parents' responsibility, yet adult children often feel morally obligated to assist, complicating financial decision-making [6] - The article suggests that treating the total debt as a shared emergency rather than separate family obligations can lead to more effective management of the financial burden [7]