Money makeover: Amy Horwath

This month’s money makeover
Who: Amy Horwath, 23
Income: $48,200
Goals: Pay down student loans and car debt. Have a financial plan that includes saving for retirement. Become financially independent from parents.
Assets: $3,600 in savings and $1,600 in retirement account
Debts: $33,717 in student loans and $16,692 in car debt
Recommendations: Boost savings from 9% of income to at least 15% by shaving expenses and changing tax withholdings. Tackle debts by putting a set amount of extra money toward the highest-interest loan each month. Once that loan is paid off, take all the money that used to go toward those payments and use it to pay down the loan with the next-highest interest rate, and so on. Boost emergency savings to six months of fixed income or about $12,000. Set up a budgeting system to save for irregular expenses and limit splurges. When a pay raise is received, stop accepting financial help from parents.
About the financial planner: Lara Lamb is a certified financial planner with Lamb Financial in Encino.