Four big options for any dollar.
Walk through
Step 1 of 5
1. Emergency fund
Build 3-6 months of essential expenses in an easy-access savings account. This is your shock absorber.
Work top to bottom: there's little point investing at 7% while carrying a 20% credit-card balance. Clear the expensive debt first.
Your turn
Your essential monthly costs are $2,000. What's a reasonable emergency-fund target?
Recap
- Emergency fund first, then high-interest debt.
- Always take the full employer match — it's free money.
- Long-term money → low-cost index funds.
- Then everything else: goals and giving.
Choices
- Spend — present consumption.
- Save — keep liquid for short-term needs.
- Invest — let it grow long-term.
- Give — to people or causes.