The Baby Step and Money Map Dance – Post #2
Are you into Baby Step’n or Money Map’n? Dave Ramsey created the Baby Steps and Crown Financial Ministries created the Money Map for prioritizing and setting financial goals.
If you’re just joining, this is article #2 in a series called The Baby Step and Money Map Dance. I invite you to follow along with me as I walk you through both approaches, discuss my observations, hopefully, stimulate your thinking and raise some questions. I’ll round out the series with some summary thoughts.
Baby Step 2 – Money Map Destination 2
What does the Baby Step say?
- Pay off all debt wtih the debt snowball.
What does the Money Map say?
- Pay off all credit cards and increase savings to one month’s living expenses.
Observations and Questions
- It’s obvious the Money Map takes a more conservative approach to emergency savings because it recommends saving up one month’s living expenses before paying off all debt. It advises to only pay off credit cards and then focus on building a bigger savings. Do you think this is a good approach? Dave Ramsey feels strongly about focussing all attention on debt, but others believe the emergency savings should be built up at the same time.
- The Money Map scripture in this phase is Proverbs 22:7: “The borrower is servant to the lender”
What are your thoughts on this phase?
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Tags: Baby Steps, Crown Money Map, Debt Snow Ball
Fri, Jul 31, 2009
Goals & Priorities