<prompt> Human: Hey All,My wife and I are constantly analyzing our financial situation between the two of us both 27 living in OH; however, we both really like getting advice from other people. I was hoping a few of our fellow reddit members could offer some insight as to how were doing financially.Assets: Cash - Approximately 27,000 split between checking and savings Retirement - Husband - 30,000 trad 401k; wife - 13,500 defined benefit pension plan - 13,500 is cash-out value Home - Current market value based off latest appraisal at turn of year 225,000 Car - Volkswagen - blue book value of 14,000 Car - Toyota - blue book value of 17,000Liabilities: Mortgage - 198,000 owed - monthly payment of 1,127 1,550 including taxes, PMI, etc. at 4.875 Car - Volkswagen - 7,300 - monthly payment of 440 at 0.0 Car - Toyota - 8,850 - monthly payment of 199 at 1.9 Student loan - 4,200 - monthly payment of 125 at 6.8 Absolutely no credit card debt - paid off in full each month Were currently paying approximately 750 extra a month towards student loans and car payments.Income: Husband - 65,000; wife - 45,000 - Both jobs are secure Net income per month after retirement savings, taxes, health insurance, etc. - 6,200Thanks in advance for any insightadvicecriticism. Anything suggestions that people can provide would be greatly appreciated!  <response>: First off, yall are doing just fine. These are some things Id consider:- pay down student debt entirely. - dont pay more on cars- dont pay more on the mortgage- keep enough cash on hand to last yourselves about 3-6 months on 0 income- make sure you are well covered, with regards to insurance- contribute more to retirement or a personal investment account. Dont do anything wild with personal investments if you go that route. I have one that I keep split between a midcap etf 70 and a small cap etf 30. A general misconception is that all debt is bad. Thats not true. You dont need to eliminate all debt, in fact, it is often an inefficient use of your money. As a rule of thumb, I wouldnt be quick to pay down any debt I had for less than 5 interest. This is a very general rule.A few questions:Whats your insurance situation? Not being covered in some sort of accident can quickly lead to financial distress.Do you plan to move in the next few years? This would affect some refinancing options you may have.How stable are your jobs? Is there much upward mobility in regards to income? Affects percentage of income you should be putting towards retirement, savings, etc.Do you have or plan on having children soon? Obviously would affect savings issues. You may also want to open up a 529 or things of that nature. 