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re: Dave Ramsey's Financial Peace

Posted on 2/11/13 at 8:23 pm to
Posted by cbtullis
Atlanta
Member since Apr 2004
6277 posts
Posted on 2/11/13 at 8:23 pm to
You should have a minimum of 3 months reserved cash before doing anything else. 6 months preferably.
You should also own disability insurance, whether its through your company or owning individually.
I can not believe how many people don't hve disability insurance. People protect their cars, homes, lives, electronics and appliances. But don't protect their income.
Posted by Chris Farley
Regulating
Member since Sep 2009
4180 posts
Posted on 2/11/13 at 9:16 pm to
I get disability coverage through work. My company also matches 40% of my 401k contributions all the way up to the max, so hitting that is my # 1 priority no matter what, then Roth, then cash savings/taxable accounts. Bonuses and my tax refund this year will go toward some form of cash emergency fund. I know that I did things a little out of order, but it's worked for me and I'm comfortable with the risk of not having much cash. I know it will pay off in the future when I have a fat stack of cheddar in my 401k by the time I am married/have kids.
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