4 Baby Steps

By Creed Sharpee

Just in case of an emergency

Once you turn 18, and get your first house, you need to have a game plan. First, you need to put $1000 in an emergency fund (500 if you make 20,000 or less every year). This will help if you have a true emergency not just "Oh man I forgot the Christmas presents good thing I have an emergency fund." Also make sure to put it in a money market even if it doesn't earn to much money it doesn't lose anything either.

debt is not a good thing

If you have debt you need to pay it all off using the debt snowball. you should start with the smallest amount and work your way up until it is all payed off.

Finishing Up The Emergency Fund

Now you need to finish up your emergency fund by adding 3-6 months of expenses. Most emergency's won't be less than $1000.

finally investing

You need to invest in 2 things. 15% of all household income goes to Roth IRA's and pre-tax retirement plans so you make money for now and when you are elderly.


Some Examples