Where to throw our access money - debt?

[Queen_Celeste]

I would pay off the credit card and taxes the first month. They are small, so even if they don't have the highest interest rate it will be easy to pay them back fast. Then put $500 in the emergency fund the first month. Month two pay $500 of the 'extra' towards debt and the other $500 will finish the emergency fund. Also the payments you are making to the CC will be able to roll over into the 'extra' money each month so you can pay more towards the other things as you pay them off.

Yes Dave Ramsey says you should have the emergency fund first, but it is thrilling to pay off bills. And he doesn't expect you to be able to get that $1000 instantly anyway.

[rumblepurr]

I would do 50/50, for the first 2 months, and then you would have a little in savings for emergency use the first month and $1000 by the end of the second month. After that pay off the highest interest loans first and then work your way down. I would then work on a 6 months worth of living expenses emergency fund.

[JellEBeanDesigns]

Taxes, cc throw the rest at macbook

[MamaJules]

Since you are going to have your debts paid AND your small emergency fund taken care of within 3 months, I don't think it makes a huge difference either way. What makes you and your family feel the most secure? Would you feel better with all your debts gone but no savings for a couple months? Or would you feel more secure with some savings, but the debts hanging around slightly longer? I would probably do a combination of the two.

[Melinda29]

Agree with others, $500 to emergency fund, $500 to smaller debts.