Getting to Baby Step 3 is a huge, monumental victory! This means you have paid off all of your consumer debt – everything but your mortgage. Congratulations! It isn’t quite time let off the gas pedal – we now must save up 3-6 months of your income into a fully-funded emergency fund. This fund is what will help keep you from going back into debt. Everything from furloughs, medical, fridge broke, car repair – all these can be paid for with cash.
- Baby Step 1: Save $1,000 cash in a beginner emergency fund
- Baby Step 2: Use the debt snowball to pay off all your debt except for the house
- Baby Step 3: Save a fully-funded emergency fund of 3 to 6 months of expenses
- Baby Step 4: Invest 15% of your household income into retirement
- Baby Step 5: Start saving for kids’ college
- Baby Step 6: Pay off your home early
- Baby Step 7: Build wealth and give generously!
Get 2 FREE stocks valued up to $1,000 here: https://act.webull.com/kol-us/share.html?hl=en&inviteCode=HvpbX35EsVmn
Website: https://rockonthemoney.com/
Subscribe to the podcast – all links located here: https://linktr.ee/rocklandusa
Facebook Group: https://www.facebook.com/groups/your401k/
Sponsored by Choice Realty Connect : https://choicerealtyconnect.com/ when you are wanting to buy or sell a home, condo or any type of property. Get matched with up to 3 top agents in your area.
