Should You Pay off Debt or Save?

Here are three strategies to help you decide if you should pay off debt first or if you should start saving your money. Maybe you can do both?
  1. I think both strategies have their pros and cons, but as long as we pick one and stick to it, we end up being ok. At the end of the day, whether we put money in savings or towards debt, it’s being used towards financial goals which is the most important thing.

  2. Misty says:

    Thank you so much for this! I needed to hear someone say it’s ok to both save and pay down debt. I just found your blog and have power read many of your posts. Keep doing what you’re doing ❤️

  3. Katherine says:

    Thanks for taking the time to write this – I agree there are definite merits to both approaches, but having just been caught out by an unexpected setback – I am personally in favour of at least saving a $1,000 emergency fund so that you can cope with larger unforeseen expenses. While it wouldn’t help with your major medical bill, it does mean that smaller situations can be dealt with in cash, rather than needing further debt. Perhaps this is more psychological than anything else.

  4. Tayla says:

    Loved reading this! I was stuck this time last year with wanting to save to buy a house. I decided to pay my debts first; paid my car out in September that had $12,000 owing on it and was able to put a massive amount into savings. In two weeks we will be moving into our own home.

  5. Carla says:

    How do you save money for Christmas and pay down debt and save and emergency fund?

  6. Carla says:

    How do you save money for Christmas and pay down debt and save an emergency fund?

  7. I loved this read Miko! This is actually something I have thought about a lot recently as I’m wanting to start paying off my student loans and trying to figure out which option would be best for me. I think I would be comfortable actually doing both paying off my debt and saving. Even if like you said, you save $50 a month – it’s still something.
    Amanda

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