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21 Cards in this Set

  • Front
  • Back
Baby Step 1
Emergency Fund
$1,000 or $500
Baby Step 2
Debt Snowball
Baby Step 3
3-6 months of expenses in savings
Baby Step 4
15% of your income in a retirement plan
Baby Step 5
College Funding
Baby Step 6
Pay off home mortgage early
Baby Step 7
Build wealth and give!
What type of account should you put your emergency fund in?
Money Market
Does the typical American have a positive or negative savings rate?
Negative
Murhpy's Law
Whatever can go wrong will go wrong.
Savings must become what?
a Priority
Rate of Return
the percentage by which your money grows
When should you pay yourself?
First
Sinking fund
Method of saving that avoids borrowing when making a purchase
When saving keep these concepts in mind
Rate of return
length of time money is invested
A fully funded emergency fund contains
3-6 months expenses
$10,000 - $15,000
What is the correct order of priorities for your money?
Give, save, pay bills
Keys to saving
Making savings a habit and priority
Discipline
Focus
Why is a money market a better place for your emergency fund?
Savings account is too easy to access
Money markets average a higher interest rate
Money market is accessible and usually has check writing privileges
What is a good way to build discipline and develop a good habit of savings?
Pre-authorized checking
What are some benefits of paying with cash?
Spend less
Negotiate a deal
No debt