I recently became consumer debt free, and am getting out of the living paycheck to paycheck cycle. My only debt now now is my car lease payment each month. After paying all of my bills and monthly expenses, I have $500 leftover. I have $1,000 in savings, so nowhere near an emergency fund. I’ve also recently opened a Roth IRA since I finally have extra money each month, and would like to start investing and funding it. (I already have a 401k where I contribute to the employer match)
I need help deciding on if I should wait a few months and build up my savings before contributing to my Roth IRA, or if I should contribute to both my IRA and Savings account each month. What would you do with the extra $500 in my case? What percentage of it would you invest in the Roth IRA, if any, and what percentage into savings? And at what point would you chance that percentage?