Friday, August 10, 2007

Baby Stepping....the Dave Ramsey Way

Here are the Baby Steps that Dave Ramsey suggests you follow to get out of debt. If you don't know much about Dave Ramsey and haven't read his book, The Total Money Makeover, hopefully this gives you an idea of what his advice is.

We are currently on #2. But hope to have that done by April 1st, 2008 (right about the time we move)

1. $1,000 to start an Emergency Fund
2. Pay off all debt using the Debt Snowball
3. Three to six months of expenses in savings
4. Invest 15% of household income into Roth IRAs and pre-tax retirement
5. College funding for children
6. Pay off home early
7. Build wealth and give!
Invest in mutual funds and real estate.

What step are you on? Since starting Dave Ramsey's program how long did it take you to get to this step?


Beansprout said...

Hello! My husband and I are getting out of debt Dave Ramsey style as well. We've recently finished off baby step one, and just paid off our first credit card! Great blog and good luck to you =)

Mom of 3 said...

Great job! We hope to have our card paid off next month.