Build Savings
If we’ve learned anything over the past couple of months is that emergency savings are imperative. You simply cannot expect everything to go your way all the time, so setting up a fund for rainy days could save you in case of an emergency: a medical issue, a problem with your home, an economic crisis, losing your job etc.
Want to pay your debts first? That’s understandable, especially if they have high-interest rates. But try to prioritize saving up enough money to see you through several months in case you ever lose your cash flow. Then you can focus on other goals.
Most financial advisers will say that your retirement savings come next as the longer you save for the more comfortable your retirement will be, largely due to compound interest. IRAs and workplace 401(k)s both offer tax incentives, so those are the best places to start.
When you contribute to a 401(k) your employers will match said contributions up to a certain percentage, and taking advantage of this will basically net free money into your savings account.
Think back on the goals you’ve discussed with your partner and figure out what other gaps you need to fill. Work from there and stick to your plans.
