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[quote=Anonymous]Your emergency fund is no where near ok.  Used to be 3-6 months of actual living expenses, I'd say 9-12 is more appropriate (the breadwinner in our house has been laid off 3 times in 25 years, once was 2 months, once 5, and the most recent took 9 months to get a job!).  Each time we ended up better off, but it was stressful each time, and I will never let it go under 12 months again!

I would separate the funds: emergency fund that you don't touch unless there's an emergency, and a working capital fund, that some months you use toward debt relief and other months you use toward short-term savings (vacation, new refrigerator or sofa, whatever).

I would not be putting off retirement savings - every penny you are not putting in, you are losing that, amd the compound interest on that whoch you are not earning.  If you have any funds above what you've earmarked for the debt, it should be going to retirement.

You didn't mention it, but I hope your saving for college for those kids - if not, start a 529 for each.  And the minute your debt is paid off, after the trip/celebration, all the extra goes in there [/quote]

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