<prompt> Human: Im 26 with a fiancee and newborn baby. I dont feel like Im saving nearly enough to live comfortably later in life. I also feel like I never have money to spend outside of necessary spending and saving, which I would like to have. Maybe my income is just too low, but maybe I could also balance how I spend and save my money better? Hopefully some of these details help:Income: Gross weekly income ... 700.72 weekly 3036 monthly - Less: - Deductions ... 49.83 - 401K ... 42.02 6 - Taxes ... 158.27 22.59 -- Net weekly income ... 450.28 1951 monthlyThats 36,437.44 per year with potential for monthly bonuses of 0 to 600. Last year I averaged about 200 a month, but its so inconsistent I dont rely on it ever.Assets: Cash ... 15,684.04 - Savings ... 10,956.40 0.75 API - Checking ... 4,727.64 0.20 APINote: I transferred about 3,000 in savings to my checking account to pay off medical bills for my newborn. I usually have about 1,800 in checking. Those bills will be paid within the month. Really, you should see my assets as 12,684.04.Investments 401K ... 8,393.14 - Contributing: 95 to FID FREEDOM 2050 : FFFHX - Contributing: 5 to FID CONTRAFUND : FCNTX Other stocks ... 113.70Debts 2013 Ford ... 11,469.95 5.99 APR 47 months leftNet worth: 12,720.93Expenses: monthly Rent Utilities: 610 Cable: 67 Phone: 54 Food: 409 Car payment: 273 Car insurance: 50 Gas: 30 Benefits: 216 Taxes: 686 401K: 182 Other: 195 Total: 2,772So a few things: I only contribute 6 to my 401K because this is what my employer matches 100. I am thinking of upping this to 15 soon, but I need to do a lot more research. I am thinking of opening a second long-term savings account with Vanguard for the other 9, because I think they perform better than Fidelity my 401K. I also would like to start a 529 Plan for my kids future college expenses. Im not sure how much to contribute, but Im thinking 108 a month 3.5 of income right now and my fiancee also 108 a month.Assistant: I also would like to start a 529 Plan for my kids future college expenses.If youre worried about your financial future then you shouldnt do this right now. Your child can take out loans for college - you cant take out loans for retirement.I only contribute 6 to my 401K because this is what my employer matches 100. I am thinking of upping this to 15 soon, but I need to do a lot more research. This doesnt make much sense to do while you have a largish car loan at 5.99. Have you looked into refinancing this to a lower rate? Youd need to pay up front to do it, but the reduction in interest may make it worth it. Youd need to do the math or use unbury.me to see the effects of paying it off at 5.99 vs. paying a lump sum to refinance and then paying it off at the lower rate.I am thinking of opening a second long-term savings account with Vanguard for the other 9, because I think they perform better than Fidelity my 401K.What options are in your 401k, and what are their expense ratios? The Fidelity target date funds arent very good - they are expensive and have a lot of in my opinion unnecessary funds contained within.Human: Its true, I cant take out a loan for retirement, while my kid could take out a loan for college. However, my parents saved for my schooling and I feel fortunate for that. My fiancee is straddled with school debt, and I dont want my kid to be faced with that burden. Thats why I feel like I should contribute at least a modest amount early to help grow a least a little bit of assets for her future college education i.e. 25 a week.I have looked into refinancing at a lower rate. Ive got a few offers from credit unions to purchase the loan that are offering around 2.5 to 3 APY for 50 months. Ill follow up on these offers soon. Why do you say it doesnt make much sense to contribute 6 to a 401K while I have a car loan?The FFFHX expense ratio is approximately 0.82. The FCNTX expense ration is approximately 0.74.  <response>: My fiancee is straddled with school debt, and I dont want my kid to be faced with that burden. Thats why I feel like I should contribute at least a modest amount early to help grow a least a little bit of assets for her future college education i.e. 25 a week.If your fiancee is straddled with school debt that just adds to the urgency of taking care of your debt situation before saving for your childs college education.Why do you say it doesnt make much sense to contribute 6 to a 401K while I have a car loan?I was referring to your idea of upping your 401k contributions past the employer match. Since paying down a loan represents guaranteed, risk-free return at the interest rate of the loan, it rarely makes sense to contribute to a 401k past the employer match while you have high interest debt. 