Dear Dave,

I’m now on Baby Step 2, and I have about $7,000 in debt to pay off before I can move to bulking up my emergency fund in Baby Step 3. When you’re paying off debt, what do you recommend for retirement savings contributions?

– Rae

Dear Rae,

I recommend putting a temporary stop to investing while you’re getting out of debt. Lots of people are shocked by this advice, and some disagree with it, because they’re afraid of missing out on their employer’s match or the wonders of compound interest.

But before we go any further, let me emphasise one thing. The key word here is temporary.

Baby Step 1 is to save $1,000 as a starter emergency fund. Baby Step 2 is paying off all of your debt, except for your home, from smallest to largest using the debt snowball plan. During this time you’re attacking your debt with incredible intensity, and putting every penny you can scrape together towards paying it off.

Working my plan, the average person can pay off all their debt, except for their home, in 18 to 24 months. Some folks can do it faster, and for some it takes a little longer.

But during this time I want your financial focus to be on nothing but getting out of debt. Once that’s done, you’ll find you have a lot more control over your biggest wealth-building tool – your income.

Trying to accomplish too many things at once diminishes the ability to focus. And when you spend all your time nickel-and-diming everything, the result is that nothing at all gets done very well.

You need to really move the needle and see results, because personal finance is 80 per cent behaviour and only 20 per cent head knowledge. It’s not so much a maths issue, because if you’d been doing the maths all along you wouldn’t have a bunch of debt.

That’s why, for a short period of time, I want you to concentrate with laser intensity on knocking out debt. Once that’s out of the way, you can pour even more money into investing, saving and giving!

– Dave

• Dave Ramsey is an eight-times national bestselling author, personal finance expert and host of The Ramsey Show. He has appeared on Good Morning America, CBS This Morning, Today, Fox News, CNN, Fox Business and many more. Since 1992, Dave has helped people regain control of their money, build wealth, and enhance their lives. He also serves as CEO of Ramsey Solutions