1 · The whole idea, in one sentence

The interest rate, not the size of the balance, decides which debt is a fire — and the employer match comes before any of them.

There's a map already drawn. Money Guy's Financial Order of Operations and Dave Ramsey's Baby Steps take different paths — Ramsey clears nearly all debt before investing; Money Guy captures the match first, then turns to the high-rate debt. Neither is wrong; they're built for different starting points. But both agree on the shape: some debts are emergencies and some aren't, and the rate is what tells them apart. The next section makes that visible.

2 · Which gets the extra dollar first?

Here are six things you could do with a spare $100 this month — one retirement move and five debts, in no particular order. As a group, number them 1 to 6: 1 for what you'd fund first, 6 for last. Don't overthink it; put down your best guess, then we'll reveal the order and see how close the room got.

One hint, since it's the surprise every time: paying off a credit card isn't "spending." Wiping out a 27% interest rate is identical, in dollars, to earning 27% — guaranteed, tax-free.

3 · Find your spot

Now make it personal. Tick what's already true for you. The first unchecked box, reading top to bottom, is where your next dollar belongs — that's the whole tool. Most people land on box two, three, or four; that's the working part of the order.

1. I have cash set aside for my biggest insurance deductible (what I pay out of pocket before insurance covers the rest), so the next surprise doesn't land back on a credit card.
2. I'm getting my full employer 401(k) match, and I've kept it on even while paying down debt.
3. I've written down every debt I owe next to its interest rate (the APR, or yearly cost of borrowing, listed on each statement or online account), highest rate to lowest.
4. I've picked one payoff method and I'm sending every extra dollar to a single target debt, not a little to each.
5. I've paid off, or set a written payoff date for, every debt charging me about 7% or more.
6. My debt payments run on autopay, so staying on plan doesn't depend on remembering each month.
7. My low-rate debts (a car loan, federal student loans, a low-rate mortgage) are on schedule, not being rushed ahead of investing.

The two payoff methods, in one line: snowball pays the smallest balance first, for the momentum of a quick win (and once a debt's gone, its old minimum payment rolls onto the next one); avalanche pays the highest rate first, for the lowest total interest. Pick one and finish it — most people who fail at debt payoff fail because they keep switching, not because they picked wrong.

5 · One move, this week

The outcome is a single line: my next dollar goes to X. Do that one thing this week — don't try to fix three at once; the order is a sequence, not a set of parallel projects. For most people the move is quick: raise your 401(k) contribution to at least the percent your employer matches (find it in your benefits portal, or ask HR), write down every debt with its rate, or set one extra automatic payment on the highest-rate balance. Go around the group; each person names their move and a date.

1 · The whole idea, in one sentence

The account is a tax deal, not the investment — and Roth vs. Traditional is a choice you make on purpose, not a default someone else made for you.

Two different decisions get tangled together. One is what you invest in: a fund, usually a low-cost index or target-date fund. The other is which account holds it — the wrapper. The wrapper doesn't change what you own; it changes how the money is taxed. That's this session. The most consequential wrapper question is Roth versus Traditional, and most people have never truly decided it.

2 · Fill the tax-deal grid

Money can be taxed at three moments: going in, while it grows, and coming out. For each account, tick every moment where it escapes tax. Guess as a group first — the pattern you find is the whole lesson.

One catch to say aloud: "tax-free coming out" isn't identical everywhere. A Roth comes out tax-free for anything; the HSA and 529 come out tax-free only for their job — medical costs and school.

3 · Find your spot

Now make it personal. Tick what's already true for you. The first unchecked box, reading top to bottom, is your next move — and box one is the big one.

1. I know whether my 401(k) goes in Traditional (before tax) or Roth (after tax) — and I chose it on purpose, not by leaving the default.
2. I have a Roth IRA open in my own name, not just my workplace account.
3. If I’m on a high-deductible health plan (a plan with a large deductible; look for "HDHP" on your open-enrollment paperwork), my HSA is open and invested, not sitting in cash.
4. I could explain, in one sentence, what tax break each account I use actually gives me.
5. I’ve picked an investment inside each account (usually a low-cost index or target-date fund), not left the money as cash.
6. When my income changed (a raise, a new job, marriage), I revisited my Roth-vs-Traditional choice.
7. I know which of my accounts are taxed later (Traditional) and which are already tax-free (Roth, HSA) — my "tax buckets" for retirement.

5 · One move, this week

The outcome is a single line: my next account move is X. For most people it's quick: log into your workplace plan, find the Roth-vs-Traditional setting, and confirm or change it on purpose. If your HSA is sitting in cash, invest it; if you don't have a Roth IRA yet, open one at a low-cost provider like Fidelity, Vanguard, or Schwab. Go around the group; each person names one move and a date.

1 · The whole idea, in one sentence

Insurance is only for the catastrophes you couldn't write a check for — never the small stuff, and never as an investment.

Here's the test that sorts any coverage in one question: if this happens and I'm not insured, can I write a check and move on? A $200 phone screen, yes, so you self-fund it. A $30,000 surgery, no — and that's exactly what insurance is for. There's a second half to the rule, too: never buy insurance as an investment. Everything sold beyond that catastrophe line is a budget item dressed up as risk management. The next few minutes put both halves to work.

2 · Guess the odds

Before the sort, one guess. Out of 100 people your age, how many will become disabled long enough to stop working at some point before they retire? Don't look it up — put down the room's best guess, then we'll reveal it.

Hold that number. Whether it's higher or lower than you'd think decides which risk this whole session is really about.

3 · Need it, skip it, or depends?

Go down the list together. For each coverage, tick one column: run it through the test — could you write a check and move on if the worst happened? If yes, you don't insure it. If a whole group disagrees on one, that's usually a "depends."

One more check before you tick: is any of this being sold to you as an investment or savings, not pure protection? If yes, it's a Skip — even if you couldn't write a check for the worst case.

4 · Find your spot

Now make it personal. Tick what's already true for you. The first unchecked box, reading top to bottom, is the gap worth closing next.

1. I have health insurance, and each open enrollment (the yearly window to change coverage) I weigh the high-deductible plan against the standard one: the premium I’d save versus the deductible (what I pay out of pocket before coverage starts) I’d likely reach.
2. If I drive, I carry auto liability coverage well above my state’s bare minimum.
3. If I rent, I have renters insurance; if I own, I have homeowners insurance with replacement-cost coverage (enough to rebuild, not just the home’s depreciated value) and a deductible my emergency fund could cover.
4. I have long-term disability coverage, through my employer or my own policy, to replace my paycheck if I couldn’t work.
5. I have term life insurance only if someone depends on my income.
6. I don’t own cash-value life insurance (whole, universal, or variable, all the same bundle under different names) bought as an investment.
7. I’m not paying for extended warranties, identity-theft insurance, or other small add-ons I could cover out of pocket.

The one most people miss is the fourth — long-term disability. It's the boring box, and it's the one most likely to actually get used.

6 · One move, this week

The outcome is a single line: my first gap is X. Do that one thing this week — check whether your employer offers long-term disability and sign up if it does, price a term life policy if someone depends on you, or cancel one add-on you're paying for and don't need. Go around the group; each person names their move and a date.

1 · The whole idea, in one sentence

Money has a life beyond you in two directions: what you give on purpose, and what you leave — and neither happens by default.

Giving fails the same way leaving does: by being left to chance. Giving that waits for "whatever's left over" stays last in line, and last in line usually means never. And the savings you mean to leave behind can land on the wrong person because a form you forgot, not your will, has the final say. Both are fixed the same way: by deciding on purpose, in advance. The sort makes the stakes visible.

2 · Who actually decides?

Go down the list together. For each one, tick what really controls where it ends up: your will, a form on the account (a beneficiary form naming who gets it, or a transfer-on-death form), or a default that takes over when you've set nothing. A few can move columns depending on whether you act — that's the lesson.

3 · Find your spot

Now make it personal. Tick what's already true for you. The first unchecked box, reading top to bottom, is your next move. Most of these are free and take an afternoon; none of them require being wealthy.

1. I’ve set a giving rate (a percentage of my income, not whatever’s left at month’s end) and automated the transfer.
2. On every account with a beneficiary form (401(k), IRA, HSA, and life insurance), I’ve checked who’s named and added a backup.
3. I have a will, and if I have children, it names a guardian to raise them.
4. I’ve added a transfer-on-death or payable-on-death form to my bank and brokerage accounts (a five-minute account-settings change), so they skip probate (the court process for settling an estate).
5. The names on all of those forms still match my life today: no ex-partner, the right people.
6. I’ve told the person who’ll settle my estate where to find the documents.
7. If I give and I hold investments that have grown, I give the tax-smart way (appreciated shares, or once I’m 70½, a direct transfer from a Traditional IRA) rather than cash from my take-home.

The last box is a "later, not never" — a way to give more per dollar once you have investments that have grown. The first six are the ones that matter for everyone, wealthy or not.

5 · One move, this week

The outcome is a single line: my next move is X. Do that one thing this week — set a giving rate and automate the first transfer, pull up one account and check who's named on the beneficiary form, or start the will you've been meaning to. Most of these are a five-minute form or a free afternoon. Go around the group; each person names their move and a date.

1 · List your debts by rate

Write down every debt with its balance and its interest rate (APR). The rate is the number that matters here — a small balance at 27% is a bigger fire than a big one at 4%.

2 · Put them in order

There’s one order that holds for almost everyone:

1. The employer match, first — before any debt. A 50–100% return the day it posts, guaranteed. It’s the one step that shouldn’t move based on your debt. (The one exception: if grabbing the match would push you into new card debt, pause it until that cycle is broken, then restart at the match level.)
2. Attack the fires: anything above about 7%. Store cards, credit cards, personal loans. Wiping out a 27% balance is identical, in dollars, to earning 27% — guaranteed, tax-free.
3. Leave the low-rate debts on schedule. A 0% promo or a 4–6% car loan isn’t a fire; pay the minimum and send your extra dollar to the fires instead.

Among the fires, two orders both work: snowball pays the smallest balance first, for the momentum of a quick win; avalanche pays the highest rate first, for the lowest total interest. Pick one and finish it — most people who fail at debt payoff fail because they keep switching, not because they picked wrong.

3 · One move, this week

The outcome is a single line: my next dollar goes to ___. Do that one thing — don’t try to fix three at once; the order is a sequence, not a set of parallel projects.

1 · The three moments money can be taxed

Money can get taxed at three moments: going in (the year you earn it), growing (dividends and gains along the way), and coming out (when you finally spend it). Every account escapes tax at some of these and pays at others — that’s the whole difference between them. In the grid below, tick every box where you think that account escapes tax. The answers are right underneath.

2 · The grid — tick where each account escapes tax

How it fills in: a Traditional account escapes going in (a tax break now) and pays coming out. A Roth pays going in, then escapes growing and coming out — for anything. The HSA is the only account taxed nowhere: in, growing, and out (for medical costs). A taxable brokerage escapes nowhere. A 529 escapes growing and coming out, but only for school. The pattern: the HSA wins all three, and a Roth and a Traditional differ only in when you pay.

3 · The one that’s yours to choose — Roth or Traditional

The rule is short: choose Roth if you expect your tax rate in retirement to be the same or higher than today; Traditional if you expect it lower. Most young savers are in a low bracket now and headed higher, which tilts Roth — and if your bracket never changes, the two tie, so you can’t lose badly either way. One nudge: a dollar in a Traditional account isn’t a whole dollar. At a 22% rate it’s worth about 78¢ once it’s taxed on the way out; a Roth dollar is worth the full dollar.

4 · One move

The outcome is a single line: my next account move is ___. For most people it’s quick — log into your workplace plan, find the Roth-vs-Traditional setting, and confirm or change it on purpose. Keep it to which account; the order you fund them is a different sheet.

This sheet stays at heuristic altitude — no contribution limits or income cut-offs. Look those up for your plan year when you set the amount; a Roth IRA needs earned income from a job to fund.

1 · The test that sorts any coverage

One question sorts all of it: if this happens and I’m not insured, can I write a check and move on? A $200 phone screen — yes, so you self-fund it. A $30,000 surgery — no, and that’s exactly what insurance is for. One rider: is it being sold to you as an investment or savings, not pure protection? If yes, it’s a skip — even if you couldn’t write the check.

2 · The odds you might be skipping

Per the Social Security Administration, more than 1 in 4 of today’s 20-year-olds will become disabled long enough to stop working before they retire — higher than the odds of dying young. Yet long-term disability is the coverage most people skip. The risk we insure heavily (an early death) is less likely than the one we ignore (a lost paycheck).

3 · Sort your own coverage

The coverage almost everyone needs — tick the ones you already have; an empty box is a gap:

Depends on your situation:

• Term life — you need it if someone’s life would get financially worse if you died tomorrow (a partner, a child, a co-signer stuck with your debt). If no one depends on you, you don’t — no matter how cheap the rate.
• An umbrella policy — extra liability above your auto and home limits. Comes later, once you have real assets worth protecting. Not a first-job purchase.

Skip it — or at least, never as an investment:

4 · One move, this week

The outcome is a single line: my first gap is ___. Do that one thing — check whether your employer offers long-term disability and sign up if it does, price a term policy if someone depends on you, or cancel one add-on you’re paying for and don’t need.

1 · Who really decides where each thing goes?

A will decides — these pass through your estate:

• Your home, your car, your belongings.
• Who raises your young children — the guardian clause is the only place you get to say.

A form decides — and it overrides the will:

• Your 401(k) or IRA — pays whoever’s named on the beneficiary form.
• A life insurance payout — the same.
• Bank and brokerage accounts — once you add a transfer-on-death (TOD) form; otherwise they detour through probate.

A default decides — if you never act:

• Everything you own, with no will — your state’s order and a judge decide.
• This year’s giving — set a rate, or it defaults to a leftover of zero.

The surprise: your retirement accounts and life insurance — usually most of the money — ignore your will entirely. A perfect will and a stale 401(k) form sends your savings to the wrong person.

2 · Check what you leave

This isn’t about dodging estate tax — almost no one owes it. It’s the plain version of stewardship: leaving things in order for the people who depend on you. Tick what’s already true:

3 · Give on purpose

Set a rate, not an amount — a percentage of your income, not whatever’s left at month’s end — and give it first, so it isn’t the thing that gets squeezed. Who you give to and why is yours; the reason to give is never the tax break — treat that as a footnote.

4 · One move, this week

The outcome is a single line: my next move is ___. Do that one thing — set a giving rate and automate the first transfer, pull up one account and check who’s named on the beneficiary form, or start the will you’ve been meaning to.

How to use this

1. At the end of each session, write the one move you named out loud.
2. Tick the box once you've actually made it — not before.
3. Open the next session by reading last week's move back, yours or around the room.

Leading a group? The coordinator guide covers the same looking-back beat; this is the sheet each person keeps. It followsthe ten-week course in order.

The Foundations semester · weeks 1–6

The adult track · weeks 7–10