06/18/2026
Money stress is REAL. Maybe youโre struggling with debt, living paycheck to paycheck, or feeling like youโll never get ahead. Iโve been there. BUT, thereโs a proven plan that works to turn things around. It's called the 7 Baby Steps.
These work 100% of the time when you follow them in order. No shortcuts.
Baby Step 1: Save $1,000 for your starter emergency fund.
You canโt build wealth if youโre constantly borrowing money every time life throws you a curveball. Get this quick win under your belt ASAP.
Baby Step 2: Pay off all debt (except the house) using the debt snowball.
List your debts smallest to largest, attack the smallest one with a vengeance, and roll those payments into the next debt. Keep the momentum going until youโre debt-free!
Baby Step 3: Save 3โ6 months of expenses in a fully funded emergency fund.
This is your cushion for when (not if) life happens. With this fund, a job loss, medical emergency, or car repair wonโt send you back into debt. (A lot of people continue the savings momentum right after completing this step to save up a down payment on a home.)
Baby Step 4: Invest 15% of your household income in retirement.
Youโre out of debt and have a safety net... now itโs time to build wealth! Max out your 401(k) match and invest consistently in good, growth stock mutual funds.
Baby Step 5: Save for your kidsโ college fund.
You donโt have to take out student loans or saddle your kids with debt. Save early and let compound interest work for you!
Baby Step 6: Pay off your house early.
Imagine life without a mortgage payment. Thatโs financial freedom! Every extra dollar you throw at your mortgage gets you closer to complete ownership.
Baby Step 7: Build wealth and give generously.
This is where the real fun begins! You have no payments, no debt, and no financial stress. Now you can live and give like no one else!
