Personal Finance Basics

The path

1. 1
   Level 1Free

   Get Your Money Straight

   A budget, savings on autopilot and a debt plan

   15 Steps, about 35 minutes each. Anyone who feels behind or unsure about money. No spreadsheets, finance background or minimum income needed.

   1. Chapter 1: See your money. Every account listed, a month of spending sorted, subscriptions trimmed, and a working budget.
   2. Chapter 2: Build a cushion. A savings account opened and on autopilot, sinking funds set up, a debt plan made, and one bill lowered.
   3. Chapter 3: Protect and grow. Credit checked and frozen, retirement and investing basics learned, insurance checked, and a one-page plan.

   1. 1
      Your money snapshot

      Every account, card, loan and regular bill listed in one place.

      A money snapshot is a single list of everything you have and owe, and everything that regularly comes in and goes out. Most people have money spread across several accounts, cards and apps, and seeing it all in one place is the first step to taking control.

      You're not judging yourself here, just gathering facts. The snapshot shows where things stand today, so you can make a plan.

      The detail beginners miss is the small apps. Payment apps like PayPal or Venmo, store cards, and buy-now-pay-later plans are easy to forget, but they all hold money or debt.

      Here's an example snapshot. Accounts: checking, savings, a payment app. Cards: one credit card. Loans: a car loan, a student loan. Bills: rent, phone, internet, car insurance, electricity, three subscriptions. Each with its approximate amount and due date.

      Right is everything on one page. Keep this list private and secure, especially if it includes account details. Don't write down full account numbers or passwords; the name of each account is enough. This Era teaches general money skills; for advice on your specific situation, talk to a qualified, fee-only financial professional.

      Consumer Financial Protection Bureau
      Show your group
   2. 2
      Track a month of spending

      Last month's spending sorted into categories, so you know where your money really went.

      Consumer Financial Protection Bureau
   3. 3
      Hunt your subscriptions

      Every recurring charge found, and at least one you don't use cancelled.

      Federal Trade Commission

   See all 15 Steps

   1. 4
      Build your budget

      A monthly budget that gives every dollar of income a job.

      Consumer Financial Protection Bureau
   2. 5
      Your weekly money check-in

      A budgeting tool picked and a 15-minute weekly check-in on your calendar.

      Consumer Financial Protection Bureau
      Show your group
   3. 6
      Open an emergency fund

      A separate, insured savings account opened for emergencies, with a starter goal.

      Consumer Financial Protection Bureau
   4. 7
      Put saving on autopilot

      An automatic transfer to savings set up for every payday.

      Consumer Financial Protection Bureau
   5. 8
      Sinking funds

      A list of irregular expenses for the year, and a monthly amount set aside for each.

      NerdWallet
   6. 9
      Make a debt plan

      Every debt listed with its rate and minimum, and a payoff order chosen.

      NerdWallet
   7. 10
      Lower one bill

      One regular bill lowered by shopping around or a phone call.

      NerdWallet
      Show your group
   8. 11
      Check and freeze your credit

      Your three free credit reports checked for errors, and a credit freeze placed at all three bureaus.

      Federal Trade Commission
   9. 12
      Your retirement plan basics

      You understand your workplace retirement plan (or your options without one), including any employer match.

      SEC Investor.gov
   10. 13
       Investing basics

       The basics learned: compound interest, risk, diversification, fees and index funds.

       SEC Investor.gov
   11. 14
       Check your safety nets

       Your insurance coverage reviewed and beneficiaries checked on every account that has them.

       NAIC
   12. 15
       Your one-page money plan

       A one-page plan with your goals, your budget habits and your next three money moves.

       Consumer Financial Protection Bureau
       Show your group
2. Level 2Unlocks after Level 1

   Grow It

   Retirement accounts, taxes and big goals

3. Level 3Unlocks after Level 2

   Big Moves

   Buying a car or home and planning for a family

Where it ends: money that works for you

Free lessons in Get Your Money Straight come from Consumer Financial Protection Bureau, Federal Trade Commission, NerdWallet, FDIC, SEC Investor.gov, NAIC. We link to their work and never copy it.