I am making this thread because of the amount of anons I see all over the place posting "im poor and in debt and thats never going to change". I am working on a tool that should help anons be able to get a better picture of how they are fucking up. So far its pretty fucking autistic, you give it your income, debt and minimum payments and it tells you the best way to pay them down the quickest. Where I am running into a bit of a problem is I want it to also tell you "ok you freed up this much liquid by this payment, put this much money per money into a savings account to serve as an x-fund, by this month you have enough of an x-fund for now put that liquid back into payoff, and by this month you have enough paid off that its smarter to take this amount out of monthly payoff and put it into a new savings account until by this month you should put that savings account into a cd or money market account.
Is there a formula accepted as the smartest for factoring in these variables? If not what would you guys say? Lets say for anon has debt that that is at a .02 minimum payment. Paying off $500 frees up $10. If he has a 20k balance, lets say, at what point would you say putting that $500 in liquid into savings is more beneficial than freeing up $10 per month with it?