8 Times Suze Orman's Advice Is Actually Really Good

Suze Orman is a popular figure in the personal finance space — but even though she's popular among many, her advice tends to polarize financial experts. Even if some of her advice won't suit every situation, sometimes, it is spot on.

Read on to explore several tidbits of advice from Orman that can actually help you get ahead financially.

Orman is a big proponent of making your emergency fund a top priority. While many experts recommend setting aside three to six months of expenses in an emergency fund, 

Orman ups the ante and advises building a fund with eight to twelve months' worth.

Although saving up this large stash is often a challenge, it's undeniable that having a sizable emergency fund can help eliminate financial stress. After achieving this goal, you might have the confidence to tackle your next money objective.

Many Americans plan to retire based on their age. But Orman recommends waiting to retire until your financial situation is truly ready. 

Although working an extra few years past a traditional retirement age might not be fun, the additional years of income can set you up for a more comfortable retirement.

Of course, this advice is generally not popular. After all, very few people want to work past a traditional retirement age. But Orman's advice is sound.

You might be asked to cosign a loan at some point in your life. For example, your child might want you to cosign on their auto or student loans. Orman warns against cosigning on loans, especially with people you care about.

Unfortunately, bringing a loan into the equation often strains relationships. Beyond the relationship strain, the extra loan can burden your finances. If possible, Orman advises steering clear of cosigning on loans.

Orman recommends avoiding credit card debt. But if you are swimming in credit card debt, Orman advises paying it off aggressively.

The rub with other experts is her extremely aggressive approach. She essentially advises borrowers to forgo any purchases that aren't explicit needs during the repayment phase. For some, this approach can feel as pleasant as a cold shower. However, it's true that slashing expenses will help you climb out of debt faster.

Many Americans operate under the assumption that renting is a waste of money. But Orman argues that renting can sometimes be smarter than buying, depending on your circumstances.

Orman advises waiting until your financial situation is ready before diving into a house purchase. Generally, she prefers people with credit card debt and less than 10% saved for a down payment to hold off on a home purchase. Additionally, she advises those who don't want the responsibilities that come with homeownership to skip buying.

When investing for the future, Orman recommends purchasing low-cost index funds and exchange-traded funds (ETFs).

She particularly advises investors to monitor investment fees to find low-cost options. For many investors, this straightforward approach to investing is the perfect fit. 

However, other experts may advise more complex investment strategies, like real estate investing.

Orman strongly advises getting serious about your financial goals by saving money aggressively. Since many households struggle to save, this straightforward approach may raise some eyebrows. 

But savers who implement her aggressive strategies can reap significant rewards.

In a recent blog post for Oprah, she said, "There's no money left because you haven't evaluated your spending habits. You need to dig deep and be willing to change those habits; to set goals and use those goals as the motivation for lifestyle changes that will allow you to save and invest."

Getting serious about saving money is always solid advice many of us need to hear.

Spending on minor conveniences can make your life easier. But Orman recommends cutting minor convenience spending from your budget. Costs on the chopping block include food delivery fees, coffee shop spending, and eating out.

Although some financial experts might disagree, she has a point. Minor convenience purchases can add up over time. 

If you want to keep your budget slim, it might be best to eliminate small convenience purchases from your life. At the very least, you might take the time to evaluate your convenience spending and only splurge on the conveniences that really light you up.

Although some of Suze Orman's advice is controversial, much of her advice involves deeply rooted wisdom. Her focus on saving, paying down debt, and low-cost investing for the future is well-suited for many Americans looking to make money moves.