<prompt> Human: My wife and I buckled down and saved up for when my daughter was born 4 months ago. We saved about 50k in total. We wanted to have extra money in case my wife was out of work for a while.We have about 5k in monthly bills. Both of us work and make similar incomes at full time, she is working casual, but can pick up as many shifts as she wants. So this means we have about a 11 month emergency fund which seems a little excessive to me 3 month seems right with 2 incomes. I would like to put some of the money away for the little one, but I was only thinking about 5k then maybe 100-200 a month. We are currently funding our retirements at 18 of our income including the employee match. It seems unnecessary to put extra towards this. We also have a mortgage, but again this does nothing for the monthly bottom line. After that we were thinking about paying off my student loans. They are about 17k with 5 interest and it would free up 300 a month. Her loans are about 65k at 6, so we can pay extra on those, but it does nothing for our monthly bottom line. I would like to pay off the small one and pay extra on the big one every month. Only thing that is stopping me is I like the tax write off for the student loan. Also there seems to be so many options that is a little bit paralyzing. EDIT: I just paid off the loan  <response>: Whoa, holding onto those loans for the interest deduction is akin to burning a dollar so you can get a quarter. All youre doing is losing a little less money to inflation and interest than you would be otherwise.Since the loans are close to the same interest, Id say pay off the smaller first so you can free up the cash. 