How should you juggle multiple financial goals?
Most of us have several goals when it comes to our money. Should you build up your savings first? Pay off debt? We'll help you figure it out.
Save for retirement
Haven't started saving for retirement through your employer or on your own? Get started on this goal first. Remember, you can't take out a loan to fund your retirement.
Pay off debt
Next, pay off any consumer debt you might have. This type of debt, like credit card balances or car loans, is usually short term and not tax-deductible. It typically carries a high interest rate as well.
Start an emergency fund
Once you're saving for retirement and you've paid off your high-interest debt, you should put aside money to build an emergency fund to cover at least 3 to 6 months' worth of living expenses. You don't want to be caught off guard when something unexpected happens.
Save for college
If you've got kids or other children in your life and you're planning to support them in continuing their education, this should be next on your list.