Skill: 1kalin/afrexai-personal-finance (version 1.0.0)

--- name: afrexai-personal-finance description: Complete personal finance system — budgeting, debt payoff, investing, tax optimization, net worth tracking, and financial independence planning. Use when managing money, building wealth, paying off debt, planning retirement, or optimizing taxes. Zero dependencies. --- # Personal Finance Mastery Complete personal finance system covering budgeting, debt elimination, investing, tax optimization, insurance, estate planning, and financial independence. Works for any income level, any country. --- ## Quick Financial Health Check Run `/finance-check` to score current financial health: | Signal | Healthy | Warning | Critical | |--------|---------|---------|----------| | Emergency fund | 3-6 months expenses | 1-3 months | < 1 month | | Savings rate | > 20% | 10-20% | < 10% | | Debt-to-income | < 36% | 36-50% | > 50% | | Housing cost | < 28% of gross | 28-35% | > 35% | | Net worth trend | Growing quarterly | Flat | Declining | | Insurance coverage | All critical covered | Gaps exist | Major gaps | | Investment allocation | Age-appropriate | Slightly off | Way off | | Tax optimization | Using all vehicles | Some unused | None used | Score: /16. Below 10 = immediate action needed. --- ## Phase 1: Financial Snapshot ### Net Worth Statement ```yaml net_worth: date: "YYYY-MM-DD" assets: liquid: checking: 0 savings: 0 money_market: 0 investments: retirement_401k: 0 retirement_ira: 0 brokerage: 0 hsa: 0 crypto: 0 property: home_value: 0 vehicles: 0 other: 0 liabilities: mortgage: 0 student_loans: 0 auto_loans: 0 credit_cards: 0 personal_loans: 0 other_debt: 0 net_worth: 0 # assets - liabilities monthly_income_gross: 0 monthly_income_net: 0 monthly_expenses: 0 savings_rate: 0 # (income_net - expenses) / income_net debt_to_income: 0 # total_debt_payments / gross_income ``` ### Income Inventory Document ALL income sources: | Source | Type | Monthly Amount | Stability | Growth Potential | |--------|------|---------------|-----------|-----------------| | Primary job | W-2/salary | | High | Moderate | | Side business | 1099/self-emp | | Variable | High | | Investments | Dividends/interest | | Moderate | Moderate | | Rental income | Passive | | Moderate | Moderate | | Other | | | | | ### Monthly Cash Flow Map ``` INCOME (net take-home) ├── Fixed Expenses (needs) — target: ≤50% │ ├── Housing (rent/mortgage + insurance + tax) │ ├── Utilities (electric, water, gas, internet, phone) │ ├── Transportation (car payment, insurance, fuel, transit) │ ├── Insurance (health, life, disability) │ ├── Minimum debt payments │ └── Groceries (baseline) ├── Financial Goals (savings/investing) — target: ≥20% │ ├── Emergency fund │ ├── Retirement contributions │ ├── Investment contributions │ ├── Debt extra payments │ └── Specific savings goals └── Lifestyle (wants) — target: ≤30% ├── Dining out ├── Entertainment/subscriptions ├── Shopping/clothing ├── Travel ├── Hobbies └── Personal care ``` This is the **50/30/20 framework** — adjust ratios to your situation but track against these benchmarks. --- ## Phase 2: Emergency Fund ### Priority #1 — Before Investing | Stage | Target | Timeline | Where to Keep | |-------|--------|----------|---------------| | Starter | $1,000 (or 1 month) | 1-3 months | High-yield savings | | Basic | 3 months expenses | 3-6 months | High-yield savings | | Full | 6 months expenses | 6-12 months | HYSA + money market | | Enhanced | 12 months expenses | Optional | HYSA + I-bonds + money market | ### When to Use Emergency Fund **YES — True emergencies:** - Job loss - Medical emergency - Essential home/car repair - Urgent family situation **NO — Not emergencies:** - Vacations - Sales/deals - Predictable expenses (insurance premiums, taxes) - Lifestyle upgrades ### Replenishment Rules - After any withdrawal, replenish becomes priority #1 - Redirect all non-essential spending until restored - Set automatic transfer to rebuild over 3-6 months --- ## Phase 3: Debt Elimination ### Debt Inventory ```yaml debt_inventory: - name: "Credit Card A" balance: 0 interest_rate: 0 minimum_payment: 0 type: "revolving" tax_deductible: false - name: "Student Loan" balance: 0 interest_rate: 0 minimum_payment: 0 type: "installment" tax_deductible: true ``` ### Strategy Selection | Method | How It Works | Best For | Psychology | |--------|-------------|----------|------------| | **Avalanche** | Pay highest interest first | Mathematically optimal, saves most money | Disciplined people | | **Snowball** | Pay smallest balance first | Fastest "wins", builds momentum | Need motivation | | **Hybrid** | Pay any debt < $500 first, then avalanche | Quick wins + math optimization | Most people | ### Debt Priority Order 1. **Payday loans / title loans** (300%+ APR) — eliminate immediately, even if it means selling things 2. **Credit cards** (15-30% APR) — aggressive payoff 3. **Personal loans** (8-15% APR) — steady payoff 4. **Auto loans** (4-8% APR) — pay minimum unless rate > 6% 5. **Student loans** (3-7% APR) — pay minimum, invest the difference if rate < 5% 6. **Mortgage** (3-7% APR) — usually don't accelerate, invest instead ### The Crossover Rule **If debt interest rate > expected investment return (historically ~7-10% stocks):** → Pay off debt first **If debt interest rate < expected investment return:** → Pay minimum on debt, invest the difference **Grey zone (4-7%):** → Split extra money 50/50 between debt payoff and investing ### Debt Payoff Accelerators 1. **Balance transfer** — 0% APR cards (watch transfer fees, 3-5%) 2. **Refinance** — lower rate on student loans, mortgage, auto 3. **Consolidation** — single payment, potentially lower rate 4. **Income boost** — side income dedicated 100% to debt 5. **Expense audit** — cancel subscriptions, negotiate bills 6. **Sell assets** — unused items → debt payoff ### Credit Score Management | Factor | Weight | How to Optimize | |--------|--------|----------------| | Payment history | 35% | Never miss a payment — automate minimums | | Credit utilization | 30% | Keep below 30%, ideally below 10% | | Length of history | 15% | Don't close old cards | | Credit mix | 10% | Installment + revolving is good | | New credit | 10% | Limit hard inquiries | --- ## Phase 4: Budgeting System ### Budget Template ```yaml monthly_budget: month: "YYYY-MM" income: salary_net: 0 side_income: 0 other: 0 total: 0 fixed_expenses: # ≤50% of income housing: 0 utilities: 0 transportation: 0 insurance: 0 debt_minimums: 0 groceries: 0 childcare: 0 subscriptions_essential: 0 subtotal: 0 percent_of_income: 0 financial_goals: # ≥20% of income emergency_fund: 0 retirement: 0 investments: 0 debt_extra: 0 savings_goals: 0 subtotal: 0 percent_of_income: 0 lifestyle: # ≤30% of income dining_out: 0 entertainment: 0 shopping: 0 travel_fund: 0 hobbies: 0 personal_care: 0 gifts: 0 subscriptions_fun: 0 subtotal: 0 percent_of_income: 0 variance: 0 # income - all expenses (should be ≥ 0) ``` ### Expense Tracking Methods | Method | Effort | Best For | |--------|--------|----------| | **Envelope system** | High | Cash-heavy, needs discipline | | **App tracking** (YNAB, Mint) | Low | Tech-savvy, automated | | **Spreadsheet** | Medium | Control-oriented, custom | | **Agent-tracked** | Low | Let AI categorize + alert | | **Reverse budgeting** | Lowest | Auto-transfer savings first, spend rest | ### Reverse Budgeting (Recommended) The simplest effective system: 1. **Day 1 of month**: Auto-transfer savings/investment target to separate accounts 2. **Day 1 of month**: Auto-pay all fixed bills 3. **Remaining**: Spend freely — guilt-free because goals are already funded 4. **Monthly**: Review if remaining amount felt tight or generous → adjust ### Subscription Audit Run quarterly: - List every recurring charge - Score each 1-5 (value received) - Cancel anything scoring ≤ 2 - Downgrade anything scoring 3 - Keep 4-5s - **Common waste**: streaming services (how many do you actually watch?), gym memberships (do you go?), software trials, news subscriptions ### Annual Expenses Calendar Don't let irregular expenses surprise you: | Month | Expense | Amount | Funded? | |-------|---------|--------|---------| | Jan | Insurance renewal | | | | Mar | Tax preparation | | | | Apr | Tax payment (if owed) | | | | Jun | Car registration | | | | Aug | Back to school | | | | Nov | Holiday gifts | | | | Dec | Annual subscriptions | | | **Sinking fund**: Divide annual expenses by 12, save monthly. No surprises. --- ## Phase 5: Investing ### Investment Priority Order Follow this exact sequence: 1. **Employer 401(k) match** — FREE money, always max this first (typically 3-6% match) 2. **High-interest debt payoff** — anything > 7% APR 3. **Emergency fund** — 3-6 months 4. **HSA** (if eligible) — triple tax advantage ($4,150 individual / $8,300 family, 2024) 5. **Roth IRA** — $7,000/year ($8,000 if 50+), tax-free growth 6. **401(k) beyond match** — up to $23,000/year ($30,500 if 50+) 7. **Taxable brokerage** — no limits, more flexibility 8. **529 plan** (if kids) — tax-free education growth 9. **Real estate / alternatives** — only after 1-8 are solid ### Asset Allocation by Age Simple rule: **Age in bonds, rest in stocks** (adjust for risk tolerance) | Age Range | Stocks | Bonds | Alternatives | Risk Level | |-----------|--------|-------|-------------|------------| | 20-35 | 90% | 10% | 0% | Aggressive | | 35-45 | 80% | 15% | 5% | Growth | | 45-55 | 70% | 25% | 5% | Moderate | | 55-65 | 60% | 35% | 5% | Conservative | | 65+ | 40-50% | 40-50% | 0-10% | Preservation | ### Simple Portfolio Models **3-Fund Portfolio** (Bogleheads recommended): - US Total Stock Market (VTI/VTSAX) — 60% - International Stock Market (VXUS/VTIAX) — 30% - US Total Bond Market (BND/VBTLX) — 10% **2-Fund Portfolio** (even simpler): - Target Date Fund (e.g., Vanguard 2055) — 100% - Adjust nothing until retirement **Income Portfolio** (retirees): - Dividend stocks (VYM/SCHD) — 30% - Bonds (BND/AGG) — 40% - REITs (VNQ) — 15% - Cash/money market — 15% ### Investment Rules 1. **Never invest money you need within 5 years** — use HYSA/CDs for short-term 2. **Dollar-cost average** — invest consistently regardless of market conditions 3. **Don't time the market** — time IN the market beats timing THE market 4. **Keep fees below 0.2%** — index funds, not active management 5. **Rebalance annually** — sell winners, buy losers (back to target allocation) 6. **Ignore daily market news** — check portfolio quarterly at most 7. **Tax-loss harvest** in taxable accounts — offset gains with losses 8. **Never panic sell** — downturns are buying opportunities ### Compound Growth Reference $500/month invested at 7% average return: | Years | Contributed | Portfolio Value | Growth | |-------|------------|-----------------|--------| | 5 | $30,000 | $35,800 | $5,800 | | 10 | $60,000 | $86,500 | $26,500 | | 20 | $120,000 | $260,500 | $140,500 | | 30 | $180,000 | $607,000 | $427,000 | | 40 | $240,000 | $1,320,000 | $1,080,000 | **The message**: Start early. Time is the biggest factor. --- ## Phase 6: Tax Optimization ### Tax-Advantaged Account Summary | Account | Contribution Limit (2024) | Tax Treatment | Best For | |---------|--------------------------|---------------|----------| | Traditional 401(k) | $23,000 ($30,500 50+) | Pre-tax in, taxed out | High earners now | | Roth 401(k) | $23,000 ($30,500 50+) | After-tax in, tax-free out | Expect higher tax later | | Traditional IRA | $7,000 ($8,000 50+) | Pre-tax in, taxed out | No employer plan | | Roth IRA | $7,000 ($8,000 50+) | After-tax in, tax-free out | Under income limits | | HSA | $4,150/$8,300 | Pre-tax in, tax-free out | Triple tax advantage | | 529 Plan | Varies by state | After-tax in, tax-free for education | Kids' college | | Mega Backdoor Roth | Up to $69,000 total | After-tax → Roth conversion | High earners | ### Tax Reduction Strategies **For employees:** 1. Max 401(k) contributions — reduces taxable income 2. Use FSA/HSA for medical expenses 3. Itemize deductions if > standard deduction ($14,600 single / $29,200 married, 2024) 4. Charitable donations — donor-advised fund for bunching 5. State/local tax (SALT) deduction — up to $10,000 **For self-employed:** 1. SEP IRA or Solo 401(k) — up to $69,000/year 2. Qualified Business Income deduction — 20% of QBI 3. Home office deduction — dedicated space required 4. Business expenses — equipment, software, travel, meals (50%) 5. Health insurance premium deduction 6. Retirement plan contributions 7. Vehicle expenses — mileage or actual costs **For investors:** 1. Hold investments > 1 year — long-term capital gains rate (0/15/20% vs ordinary income) 2. Tax-loss harvesting — sell losers to offset gains 3. Asset location — bonds in tax-advantaged, stocks in taxable 4. Qualified dividends — taxed at capital gains rate 5. Roth conversion ladder — convert in low-income years 6. Donate appreciated stock — avoid capital gains + get deduction 7. Opportunity Zones — defer and reduce capital gains ### Tax Planning Calendar | Month | Action | |-------|--------| | January | Gather W-2s, 1099s, receipts | | February | Estimate tax liability | | March | File or extend (April 15 deadline) | | April | Q1 estimated tax payment (if self-employed) | | June | Q2 estimated tax payment | | September | Q3 estimated tax payment | | October | Extended filing deadline | | November | Tax-loss harvesting review | | December | Max retirement contributions, charitable donations, Roth conversions | | January | Q4 estimated tax payment | --- ## Phase 7: Insurance & Protection ### Essential Coverage Checklist | Insurance | Need Level | Notes | |-----------|-----------|-------| | Health insurance | **Critical** | ACA marketplace if no employer plan | | Auto insurance | **Critical** (if driving) | Liability + collision/comprehensive | | Renters/homeowners | **Critical** | Covers belongings + liability | | Life insurance | **Critical** (if dependents) | Term life = 10-12x annual income | | Disability insurance | **Important** | 60-70% income replacement | | Umbrella liability | **Important** (high net worth) | $1M+ coverage, cheap | | Long-term care | **Consider** (age 50+) | Protect retirement assets | ### Life Insurance Decision Tree ``` Do you have dependents who rely on your income? ├── YES → Buy term life insurance │ ├── Coverage: 10-12x annual income │ ├── Term: until youngest child is 25 or mortgage is paid │ └── Type: TERM (not whole life — invest the difference) └── NO → Skip for now, reassess when situation changes ``` **Rule**: Never buy whole life insurance as an investment. Buy term, invest the difference. ### Insurance Optimization 1. **Bundle policies** — same insurer for home + auto = 10-25% discount 2. **Raise deductibles** — $500 → $1,000 deductible saves 15-30% on premiums 3. **Shop annually** — rates vary wildly between insurers 4. **Review coverage yearly** — life changes mean coverage changes 5. **Don't over-insure** — match coverage to actual risk and assets --- ## Phase 8: Major Purchase Planning ### Home Buying Readiness | Factor | Ready | Not Ready | |--------|-------|-----------| | Emergency fund | 3-6 months AFTER down payment | Drained by purchase | | Down payment | 20% (avoids PMI) | < 10% | | Debt-to-income | < 36% with mortgage | > 43% | | Credit score | 740+ (best rates) | < 680 | | Job stability | 2+ years steady income | Recent job change | | Plan to stay | 5+ years | < 3 years (rent instead) | | Monthly cost | < 28% of gross income | > 35% | ### Rent vs Buy Decision **Monthly cost comparison:** - Renting: rent + renters insurance - Buying: mortgage + property tax + insurance + HOA + maintenance (1-3% of value/year) + opportunity cost of down payment **Buy if**: staying 5+ years AND total ownership cost < rent AND you want the stability. **Rent if**: < 5 years OR high mobility OR local market is overpriced (price-to-rent > 20x). ### Car Buying Rules 1. **Total vehicle cost < 35% of annual income** (purchase price) 2. **Buy used** (2-4 years old) — avoid 30-40% depreciation 3. **Pay cash if possible** — if financing, keep loan < 48 months 4. **Total transportation < 15% of take-home** (payment + insurance + fuel + maintenance) 5. **Never lease** unless business write-off justifies it --- ## Phase 9: Financial Independence (FI) ### FI Number Calculation ``` FI Number = Annual Expenses × 25 ``` Based on the 4% rule (Trinity Study — 4% withdrawal rate has historically survived 30-year retirements). | Annual Expenses | FI Number | Monthly Savings Needed (25 years at 7%) | |----------------|-----------|----------------------------------------| | $30,000 | $750,000 | $940/month | | $50,000 | $1,250,000 | $1,567/month | | $75,000 | $1,875,000 | $2,350/month | | $100,000 | $2,500,000 | $3,134/month | ### FI Stages | Stage | Description | What Changes | |-------|-------------|-------------| | **Coast FI** | Enough invested that compound growth alone will fund retirement by 65 | Can take lower-paying fulfilling work | | **Barista FI** | Investments cover most expenses, need small income | Part-time work for insurance/extras | | **Lean FI** | 25x minimal expenses saved | Can stop working, frugal lifestyle | | **FI** | 25x comfortable expenses saved | Full financial independence | | **Fat FI** | 25x generous expenses saved | Independence with luxury | ### FI Tracking Dashboard ```yaml fi_tracker: date: "YYYY-MM-DD" annual_expenses: 0 fi_number: 0 # expenses × 25 current_invested: 0 fi_percentage: 0 # invested / fi_number × 100 monthly_savings: 0 savings_rate: 0 years_to_fi: 0 # calculated from savings rate coast_fi_number: 0 # what you need now to coast to 65 coast_fi_reached: false ``` ### Savings Rate → Years to FI | Savings Rate | Years to FI | |-------------|-------------| | 10% | 51 years | | 20% | 37 years | | 30% | 28 years | | 40% | 22 years | | 50% | 17 years | | 60% | 12.5 years | | 70% | 8.5 years | | 80% | 5.5 years | **The lever**: Cutting expenses is 2x as powerful as earning more (reduces FI number AND increases savings). ### Safe Withdrawal Strategies | Strategy | Rate | Best For | |----------|------|----------| | **Fixed 4%** | 4% of initial portfolio, adjusted for inflation | Simple, traditional | | **Variable %** | 3-5% based on market conditions | Adapts to market | | **Guardrails** | 4% base, increase/decrease if portfolio deviates 20% | Balanced | | **Bucket strategy** | 2 years cash + 5 years bonds + rest stocks | Sequence risk protection | --- ## Phase 10: Estate Planning Essentials ### Documents Everyone Needs | Document | What It Does | Priority | |----------|-------------|----------| | **Will** | Distributes assets, names guardian for children | Critical | | **Power of Attorney** | Someone manages finances if incapacitated | Critical | | **Healthcare Directive** | Medical wishes if you can't communicate | Critical | | **Beneficiary designations** | Override will for 401k, IRA, life insurance | Critical | | **Trust** (optional) | Avoids probate, privacy, control | Important if assets > $500K | ### Digital Estate Checklist - [ ] Password manager shared with trusted person - [ ] List of all financial accounts and institutions - [ ] Crypto wallet recovery phrases stored securely - [ ] Social media legacy contacts set - [ ] Email account recovery instructions - [ ] Insurance policies documented and locatable - [ ] Safe deposit box key location documented --- ## Phase 11: Financial Review Cadence ### Weekly (5 minutes) - Check bank/credit card for unauthorized charges - Log any large or unusual expenses - Verify automated transfers went through ### Monthly (30 minutes) ```yaml monthly_review: month: "YYYY-MM" income_actual: 0 expenses_actual: 0 savings_actual: 0 savings_rate_actual: 0 budget_variances: over_budget: [] under_budget: [] net_worth_change: 0 debt_paid_this_month: 0 investments_contributed: 0 action_items: [] ``` ### Quarterly (1 hour) - Update net worth statement - Review investment allocation (rebalance if > 5% drift) - Subscription audit - Insurance coverage check - Update financial goals progress ### Annually (half day) - Full financial plan review - Tax planning for next year - Insurance shopping/comparison - Beneficiary designation review - Will/estate document review - Set next year's financial goals - Negotiate bills (insurance, phone, internet, subscriptions) --- ## Financial Scoring Rubric (0-100) | Dimension | Weight | 0-25 | 50 | 75 | 100 | |-----------|--------|------|-----|-----|------| | Emergency fund | 15% | < 1 month | 1-3 months | 3-6 months | 6+ months | | Debt management | 15% | High-interest debt, no plan | Plan exists | Only low-interest | Debt-free | | Savings rate | 15% | < 5% | 10-15% | 15-25% | > 25% | | Investment strategy | 15% | Not investing | Investing but no plan | Diversified + tax-optimized | Full optimization | | Insurance coverage | 10% | Major gaps | Basic coverage | Solid coverage | Fully optimized | | Tax optimization | 10% | No tax planning | Using some accounts | Maxing accounts | Full strategy | | Net worth growth | 10% | Declining | Flat | Growing | Accelerating | | Estate planning | 10% | Nothing | Basic will | Will + POA + directive | Complete plan | ### Scoring Guide - **90-100**: Financial mastery — maintain and optimize - **70-89**: Strong foundation — optimize tax and estate - **50-69**: Building — focus on savings rate and debt - **30-49**: Getting started — emergency fund + debt payoff - **0-29**: Crisis mode — stabilize cash flow, minimum debt payments --- ## Common Mistakes | Mistake | Why It Hurts | Fix | |---------|-------------|-----| | No emergency fund | One crisis = debt spiral | Build $1K starter, then 3 months | | Lifestyle inflation | Raises never turn into wealth | Save 50%+ of every raise | | Paying minimums on high-interest debt | Interest compounds against you | Avalanche or snowball method | | Not investing early | Missing compound growth | Start with $50/month today | | Timing the market | Miss best days = miss most gains | Dollar-cost average, always | | Whole life insurance | Expensive, bad returns | Buy term, invest the difference | | No tax planning | Leaving thousands on the table | Max tax-advantaged accounts | | Ignoring insurance | One event = financial ruin | Cover the catastrophic risks | | Emotional spending | Budget-busting | 48-hour rule for purchases > $100 | | Keeping up with others | Comparison drives overspending | Track YOUR net worth, ignore others | --- ## Edge Cases ### Irregular Income (Freelance / Commission) - Budget based on lowest 3-month average from past year - In good months, build buffer to 3 months ahead - Separate business and personal accounts - Set aside 25-30% for taxes immediately (estimated payments quarterly) - Variable expenses flex, fixed expenses stay locked ### Dual Income / Couples - Decide: fully joint, fully separate, or hybrid (joint for shared + separate for personal) - Hybrid recommended: joint account for bills/goals + personal "fun money" accounts - Monthly money meeting — review budget, goals, upcoming expenses together - Life insurance on BOTH incomes - Estate planning is critical — both wills, beneficiaries aligned ### High Income ($200K+) - Max ALL tax-advantaged accounts (401k, backdoor Roth, HSA, mega backdoor if available) - Donor-advised fund for charitable giving - Umbrella liability insurance ($1-2M) - Estate planning with trusts - Consider tax diversification: pre-tax + Roth + taxable + real estate - Beware lifestyle creep — savings rate matters more than income ### Fresh Start (Post-Bankruptcy / Major Setback) - Secured credit card to rebuild credit - Budget with zero-based budgeting (every dollar assigned) - Emergency fund is priority #1 (even $500 helps) - No new debt until existing is managed - Focus on income growth — skills, certifications, side income ### International / Multi-Currency - Track in primary currency, note exchange rates for foreign accounts - Understand tax obligations in BOTH countries (US citizens taxed on worldwide income) - FBAR filing if foreign accounts > $10K aggregate - FATCA reporting for foreign financial assets - Currency hedging for large foreign holdings --- ## Agent Automation ### Daily - Categorize new transactions - Flag unusual spending (> 2x category average) - Check account balances ### Weekly - Generate spending summary by category - Compare actual vs budget - Alert if any category > 90% of monthly budget ### Monthly - Generate full budget report with variances - Update net worth tracking - Calculate savings rate - Debt payoff progress update - Investment contribution tracking ### Quarterly - Net worth trend chart - FI percentage update - Insurance review reminder - Rebalancing check (portfolio drift > 5%) ### Annually - Full financial health score (0-100) - Year-over-year net worth comparison - Tax optimization review - Estate document review reminder - Goal setting for next year --- ## File Structure ``` finance/ ├── net-worth-YYYY-MM.yaml # Monthly net worth snapshots ├── budget-YYYY-MM.yaml # Monthly budgets ├── debt-tracker.yaml # Debt inventory and payoff progress ├── investment-allocation.yaml # Current portfolio allocation ├── fi-tracker.yaml # Financial independence progress ├── annual-expenses.yaml # Sinking fund calendar ├── insurance-coverage.yaml # All policies ├── estate-checklist.yaml # Documents and beneficiaries └── reviews/ ├── monthly-YYYY-MM.md # Monthly review notes └── annual-YYYY.md # Annual review ``` --- ## Natural Language Commands - "What's my net worth?" → Calculate from latest snapshot - "How's my budget this month?" → Compare actual vs plan - "When will I be debt-free?" → Calculate based on current payoff rate - "Am I on track for FI?" → Show FI percentage and years remaining - "Score my finances" → Run 0-100 scoring rubric - "What should I do with an extra $500?" → Apply to priority order - "Review my subscriptions" → List all recurring charges with value scores - "Tax optimization check" → Review which accounts are maxed - "How much house can I afford?" → Calculate based on income and debts - "Compare my spending this month vs last" → Category-by-category comparison - "Rebalance check" → Compare current allocation to target - "Set a savings goal" → Create goal with timeline and monthly amount

path: README.md
content: # AfrexAI Personal Finance Mastery

Complete personal finance system — budgeting, debt payoff, investing, tax optimization, net worth tracking, and financial independence planning.

## Install

```bash
clawhub install afrexai-personal-finance
```

## What You Get

- **Net worth tracking** with monthly snapshots and trend analysis
- **50/30/20 budgeting** with reverse budgeting for simplicity
- **Debt elimination** — avalanche, snowball, and hybrid strategies with the crossover rule
- **Investment priority order** — exact sequence from 401(k) match to taxable brokerage
- **Tax optimization** — every tax-advantaged account explained with limits and strategies
- **Financial independence planning** — FI number calculator, savings rate → years table, withdrawal strategies
- **Insurance & estate essentials** — coverage checklist, life insurance decision tree, estate documents
- **0-100 financial health scoring** across 8 dimensions
- **Agent automation** — daily transaction categorization, weekly summaries, monthly reviews, quarterly rebalancing

## Quick Start

1. Run `/finance-check` for your 8-signal health score
2. Build your net worth statement
3. Set up 50/30/20 budget (or reverse budget)
4. Follow the investment priority order
5. Schedule monthly reviews

## Who This Is For

- Anyone managing personal money — any income level, any country
- People paying off debt who need a clear strategy
- New investors who want a simple, proven approach
- Anyone pursuing financial independence (FIRE)
- Couples building joint financial plans

Zero dependencies. Works with any agent. Pure methodology.

---

⚡ **Level up your financial operations:**

| Pack | Best For | Link |
|------|----------|------|
| **Fintech Context Pack** | Building financial products | [$47](https://afrexai-cto.github.io/context-packs/) |
| **SaaS Context Pack** | Subscription business finances | [$47](https://afrexai-cto.github.io/context-packs/) |
| **Professional Services Pack** | Service business financial planning | [$47](https://afrexai-cto.github.io/context-packs/) |

🔗 **More free skills by AfrexAI:**
- [afrexai-budget-tracker](https://clawhub.com/skills/afrexai-budget-tracker) — Business budget and expense management
- [afrexai-investment-engine](https://clawhub.com/skills/afrexai-investment-engine) — Stock, crypto & portfolio analysis
- [afrexai-fpa-engine](https://clawhub.com/skills/afrexai-fpa-engine) — Financial planning & analysis for businesses
- [afrexai-founder-os](https://clawhub.com/skills/afrexai-founder-os) — Startup operating system
- [afrexai-strategic-thinking](https://clawhub.com/skills/afrexai-strategic-thinking) — Mental models & decision frameworks

🛒 **Browse all AfrexAI context packs:** [afrexai-cto.github.io/context-packs](https://afrexai-cto.github.io/context-packs/)


Security scan verdicts — ClawScan: clean | static analysis: clean | VirusTotal: clean | SkillSpector: clean (LOW)