Financial Planning

How to Prioritize Your Finances

Everyone has different financial goals, but there are a few many of us share. In this video, we look to help you decide how to prioritize your goals to stay financially healthy.
January 16, 2024 • Beginner
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How to Prioritize Your Finances

Everyone has different financial goals, but there are a few many of us share, and we can help prioritize those.  So, how do you prioritize your goals?

#1 Maximize your 401k match

If your employer matches any percentage of your 401k contributions, make sure you’re contributing enough to get the full match from your employer. That way you’re not leaving anything on the table.

#2 Pay down nondeductible high-interest debt like credit cards

This advice goes for any high-interest debt, such as credit cards or car payments, where the interest can’t be deducted from your income before taxes.

#3 Build up an emergency savings account.

We suggest having 3 to 6 months’ worth of essential expenses saved in a low-risk account that’s easy to access--like a bank savings account or money market fund.

#4 Increase tax-advantaged contributions.

Contribute the maximum to qualified tax-advantaged savings accounts. Not only does this include your 401k, but also accounts like an HSA, if you you’re eligible.

#5 Other savings goals.

And now, you can start saving for other goals, like buying a home, a child’s education, or taking a special vacation.

To learn more about how to take control of your financial future, check out the other videos in our Finance 101 series.

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The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. The investment strategies mentioned here may not be suitable for everyone. Each investor needs to review an investment strategy for his or her own particular situation before making any investment decision.

Please note that this content was created as of the specific date indicated and reflects the author's views as of that date. It will be kept solely for historical purposes, and the author's opinions may change, without notice, in reaction to shifting economic, market, business, and other conditions.

Examples provided are for illustrative purposes only and not intended to be reflective of results you can expect to achieve.

Please note that this content was created as of the specific date indicated and reflects the author's views as of that date. It will be kept solely for historical purposes, and the author's opinions may change, without notice, in reaction to shifting economic, business, and other conditions.

An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the Fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the Fund.

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