Matt Clark

You can park that in the high yield savings.

How much would that be for you?

Great.

So we're going to take $24,000 out of the $37,000, which leaves you with $13,000.

That's really the number we're working with.

And now think about it.

You've got an amazing financial foundation.

No payments, six months of expenses saved up, $13,000 to now invest.

And what I would do first is just fund a Roth IRA for the year.

That's $7,500 right there.

Are you tracking with me on what that is?

No, it's all good.

I'll give you a quick explainer.

So an IRA is just an individual retirement arrangement.

It's just an account that's outside of an employer where you can invest money with some tax advantages.

And so there's traditional IRA, which means you're going to get some tax benefit now, but you'll pay taxes later when you withdraw it.

On the growth, yeah.

So you can open up a Roth IRA, fund $7,500, and you'll still have some money left over, which is incredible.

And then beyond that, you got to think about what are my future financial goals?

Do I need to upgrade the car?