“To acquire money requires valor. To keep money requires prudence. To spend money well is an art.” -Berthold Auerbach

Path of Financial Fitness

  • Dependent

    Income is less than expenses

    Credit card debt is over $10K

    No emergency fund

    No retirement savings

  • Solvent

    Income is equal to expenses

    Credit Card Debt is under 3K

    Emergency fund of 1 month of core expenses

    Partially funding retirement plan

  • Stable

    Income is greater than expenses

    No rotating credit card debt

    Emergency fund of 3 months of core expenses

    Fully funding retirement plan

  • Secure

    Income is greater than expenses

    No rotating credit card debt

    Emergency fund of 1 year of core expenses

    Fully funded 401K & Roth IRA

  • Independent

    Yearly expenses are covered by passive income

    No Rotating credit card debt

    Emergency cash fund of 1 year of core and discretionary expenses

    Skilled at funding SD IRA or Solo 401K

    Trust in place