Yes — You Can Pay Down Debt and Still Save

When you’re focused on paying off debt, saving money at the same time can feel impossible. Many women wonder: Should I pay off all my debt first, or should I start saving now?

The answer? You can do both. Balancing debt repayment with saving helps you protect your financial future and avoid going back into debt when unexpected costs arise.

Here’s how to build a plan that works for both goals:

1. Always Prioritize Minimum Payments First

No matter what, always make your minimum debt payments on time. This protects your credit score and keeps your accounts in good standing.

Missing payments can lead to penalties, added fees, and more interest — making it harder to dig out later.

2. Build a Starter Emergency Fund

One of the biggest reasons people stay stuck in debt is because unexpected expenses push them to rely on credit cards. Having even a small emergency fund — $500 to $1,000 — can help you avoid adding new debt when life happens.

Start by saving small amounts consistently, even while paying off debt. It’s about building protection, not perfection.

3. Balance Extra Debt Payments with Savings Contributions

After you’ve covered minimum payments and started your emergency fund, divide any extra money between debt and savings.

For example:

• 70% toward extra debt payments

• 30% toward savings

This balance can shift over time as your debt decreases and your savings grow.

4. Save for Near-Term Goals Along the Way

While you’re working on long-term debt and savings goals, it’s also helpful to plan for near-term expenses like holidays, back-to-school shopping, or annual insurance premiums. Setting aside a little each month can help prevent new debt from creeping in.

5. Stay Flexible and Adjust as Needed

Some seasons of life will allow you to focus more on savings, and others will require faster debt repayment. That’s okay. The goal is progress, not perfection.

Helpful Tips:

• Automate savings contributions to stay consistent.

• Track both your debt payoff and savings growth to stay motivated.

• Review your plan every few months and adjust based on your current needs.

Final Thoughts

Managing debt while saving for your future is a balancing act — but it’s absolutely possible. Saving, even in small amounts, can help you build financial stability while you work toward becoming debt-free.

If you’d like help creating a personalized debt and savings plan, the Women of Wisdom (WOW) community at Apriem Advisors is here for you. Reach out to us at bri@apriem.com — we’d love to support you on your financial journey.