30 Day Financial Cleanse Day 9: Devise a Plan

As a reminder this post series is all about getting a handle on your finances!  I heard about Personal Capital, a personal finance software company, and their 30 Day Cleanse and decided to take the pledge and encourage my readers to do the same!

Create your plan. Focus on 1) Paying off high interest debt first 2) Setting up an emergency fund 3) Saving 20% of every paycheck.

Always focus on paying off debt first. If you are in a lot of debt, devise a plan to get that paid off quick, so you can avoid paying less overall. A mortgage is a reasonable debt to pay down over time (in most cases) but nearly everything else has such awful interest rates that ideally they are not worth having. I am currently paying down our car loans as quickly as possible and then going to tackle my student loans. My car loans actually have decent interested rates (both are below 4%) but I am much closer to paying them off, so I am focusing on the short term gain of being able to have less accounts I am working on. Once done with those 2, we will only have 2 student loans and then our 1st and 2nd mortgage. It will be nice to have 4 accounts I am paying down versus 6. At one point I was paying on greater than 10 accounts! I cannot believe I kept track of it all! 

Stay tuned for Day 10: Cut Down on Discretionary Spending! 

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