Paying off debt

[kindy64]

Well, if you have that $1000 in the bank, you are prepared for many "emergencies" which you may otherwise tap a credit card for, like needing tires, or a car repair. Things which we know happen, but we don't account for in our budget before they are needed. It's all about taking control of your spending. In fact, he doesn't recommend calling it a budget, but a spending plan.

His steps are about building wealth, it starts with the emergency fund, and paying off debt. Lot's of free advice on his website.

http://www.daveramsey.com/baby-steps/?snid=start.steps

1 - $1,000 to Start an Emergency Fund
2 - Pay Off All Debt but the House
3 - 3 to 6 Months of Expenses in Savings
4 - Invest 15% of Household Income Into Retirement
5 - College Funding for Children
6 - Pay Off Home Early
7 - Build Wealth and Give