All the Hacks with Chris Hutchins Chris’ Money Allocation Framework: 10 Steps to Build Your Wealth
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Jul 2, 2025 Discover a personal 10-step money allocation framework that prioritizes savings, investments, and financial flexibility. Explore effective debt repayment strategies like the avalanche and snowball methods while building a robust emergency fund. Learn the advantages of taxable brokerage accounts for long-term investments and how to optimize tax strategies. Delve into advanced wealth-building techniques for low interest environments, including leveraging credit options for financial goals. Get ready to transform your financial journey!
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Maintain Operating Cash Buffer
- Keep one to two months of expenses as operating cash in an interest-earning account like a savings or cash management account.
- This cash buffer prevents borrowing for monthly bills or urgent expenses like car repairs or deductibles.
Maximize Employer Match First
- Always contribute enough to your employer retirement plan to get the full employer match; it's free money with a 100% immediate return.
- Skip this only if you have very high-interest debt over about 15%.
Prioritize High-Interest Debt
- Pay off urgent high-interest debt above about 8% before investing, as it offers a guaranteed return equal to the interest avoided.
- Use methods like avalanche (highest interest first) or snowball (smallest balance first) but prioritize paying off high-interest debt overall.