Transcript:

Caroline Woods: Joining me now, Tori Dunlap, founder of Her First 100K. Tori, thanks so much for joining us.

Tori Dunlap: Thank you for having me.

Caroline Woods: So first, 100K is an ode to the fact that you quit your job at 25 after saving $100,000. So tell us, how did you actually make that happen?

Tori Dunlap: Yeah, it’s hard to believe that was six years ago. Now I’m 31, but in my path to save 100 K, that’s where Her First 100 K kind of started was my attempt to save slash invest $100,000 at the age of 25. So I did that through a few different things. The first was I graduated college without student loans, which was both a privilege of my parents investing for me, but also me working three on-campus jobs, getting scholarships, those kind of things. But I like to acknowledge I wouldn’t have hit that 100 K as quickly as I did if I would have had student debt, which is, you know, such a huge thing for so many people in their 20s and 30s.

I was also negotiating every single job I held. So I was negotiating pay raises. And as soon as I realized my pay was capped in my position, I was moving on. I was finding another job that would compensate me more fairly. I was also saving a percentage of my income automatically. So I think at the peak I was saving 27% of my take-home pay. And that was happening on autopilot, which is something that anybody watching or listening can do — set up an automatic transfer from your checking account to your savings account so that your savings are being built without you having to think about it.

And then finally, Her First 100 K was this business that I was running on the side of my 9-to-5 in marketing. So I had my stable marketing job, and then I would also make some money on the side with Her First 100 K. And so I was able to not only have this one source of income, but this additional source of income that helped me achieve that goal.

So I hit my 100 K at 25, quit my job, and then now helped over 5 million women be better with money across the world. We’ve helped them save money, pay off debt, start businesses, leave toxic situations, and it’s my favorite thing to do — fight for women’s financial rights.

Caroline Woods: And just to be clear, you saved $100,000, which allowed you to quit your job, but you didn’t retire. You’re obviously still working, so it just gave you the financial freedom to be able to bid farewell to the corporate world.

Tori Dunlap: Yeah, you got it. I think money means options. And that’s my biggest thesis statement with educating especially marginalized groups, especially women, is that when you have money, you have options. When you have money, you have the ability to start a business. You have the ability to leave a bad or unsafe or unhealthy situation. You have the ability to donate to causes you believe in and travel and feel healthy.

And that’s what that 100 K gave me — the option to be my own boss, run my own company, but also give other women jobs. We’re a team now of 17 people at Her First 100 K. It allows us to continue to give this financial education to women who need it most. And I think that personal finance is so much more than just numbers. It’s about freedom.

Caroline Woods: So I’m curious, you mentioned the multiple streams of income component. Can we do things like save $100,000 or have financial freedom on one income? How important is it that we have multiple streams of income at this point?

Tori Dunlap: Yeah, I think that’s a really good question. When we think about that 100 K or whatever your financial goal is, obviously an additional source of income is going to kind of rocket ship that goal. However, I don’t want to live in a society or in a system where you have to work multiple jobs in order to get ahead or you have to work 60, 70 hours a week to do that.

The reason I started Her First 100 K was that it was my ticket out. I always wanted to be an entrepreneur, and I also felt like my 9-to-5 would be the stability I needed — almost like my first investor. If I was my first investor into my business. So I could have that stability to grow my company the way I wanted.

What I will say, though, is that in light of a lot of layoffs, economic instability, inflation, having multiple sources of income — even if that’s just your job plus a high-yield savings account or plus dividends from investments — is so crucial, especially right now. Because you might get your hours cut, you might get laid off, there might be a situation where that one source of income disappears or changes. And I want you to feel safe and okay through that situation, because I want money to be the last thing you have to worry about during a big life crisis.

Caroline Woods: You’ve already given some good pieces of advice with the high-yield savings account, for example, or the automatic deposits to your savings account. So what’s the harshest piece of advice we all need to hear when it comes to money?

Tori Dunlap: That’s a really good question. I think the biggest one that people don’t like hearing is that you have to look at your money. And I know that sounds so obvious, but I think a lot of people believe that they’ll just be able to get financially ahead while still ostrich-ing themselves and burying their head in the sand. And at the end of the day, what you don’t measure, nothing changes, right?

So you have to understand what’s going on. And the biggest thing to remember when you start looking at your money is you have to do this without judgment. Don’t judge yourself, don’t shame yourself, don’t talk down to yourself. Simply look at your numbers as if you’re an anthropologist in your own life — making hypotheses, looking at certain things and going, “Oh, interesting.”

When I’m stressed at work, I’m more likely to spend money on things I don’t really like. Interesting. What can I do to change that? Rather than, “I feel so terrible. I’m so bad with money. Why can’t I get my stuff together?” At the end of the day, we have to know what’s going on with our money because you’re in control of it. You’re in control of the way you think about your spending, your saving, your investing, your protection. You have to own that.

Caroline Woods: What’s the most common money advice that you hear that you think is completely wrong and why?

Tori Dunlap: Oh, I have a lot of pieces of financial advice that I think are wrong.

Caroline Woods: Heard you dig into those on your podcast. So that’s why I ask. I’ve heard you call out some select names in this business.

Tori Dunlap: Yeah, it might be one person especially that you know whose name sounds like Rave Damn Z. But I think the biggest thing to keep in mind is you need an emergency fund first. I see a lot of people talk about conquering your debt first. And especially in the year of our Lord 2026, you need an emergency fund.

For all the reasons I just outlined — you could lose your job, you could have a health scare, something could happen where you need money. And I don’t want you going into more debt or more costly debt trying to pay for an emergency. The $1,000 emergency fund you’ll hear financial experts talk about — that’s not enough anymore. The average rent in American cities is $1,500-plus for a one-bedroom apartment. So that $1,000 isn’t even going to cover your rent.

So three months of living expenses in a high-yield savings account — that is step one. Even if you have tens of thousands of dollars of debt elsewhere.

The other one that just continues to grind my gears is that the reason you’re not rich is the latte. No, it’s not. It’s very sexist, actually, to pick on things that are stereotypically feminine like lattes or makeup or blowouts at the salon, but not NFL season tickets or golf clubs or video games. Women are allowed to have hobbies. Women are allowed to buy things that bring them joy. There are many, many reasons why women and other marginalized groups are not able to get financially ahead, and it has nothing to do with a $6 coffee.

Caroline Woods: Okay, so build the emergency fund first, then pay off the debt. Where does investing fall into that? Should you invest before you pay off all of your debt? Should you be doing it at the same time, especially as people think about things like 401(k)s?

Tori Dunlap: Totally. Yeah, I have this all outlined in my book Financial Feminist. We call it the financial game plan. Basically, if you get a 401(k) match — meaning your company is going to give you free money — that is actually the thing we’re going to do after the emergency fund, but before credit card debt.

I know that might seem counterintuitive because credit card debt interest rates are so high, but it’s free money. We want that free money.

If you don’t get a 401(k) match, then after credit cards, we want to prioritize investing over paying off our lower-interest debt — typically anything under 7%. So that’s most student loans, most mortgages, most car loans, because we can actually be making more money in the market than we’re losing by being in debt.

So if you’re wondering, should I pay off debt or should I invest first, it’s that 7% threshold. If it’s over 7% interest, we want to pay that off first. If it’s under 7%, we want to prioritize investing.

Caroline Woods: Okay, we’re just about out of time, but tell us — what are some other rich girl habits that we should all be following?

Tori Dunlap: Look at your money. Absolutely. We need to be checking in on our money. My favorite is doing what’s called a money date — sitting down once a month at least, dedicated financial self-care time. Look at your goals. Look at your accounts.

Second, we need to know our cash flow. Where’s the money coming in? Where’s the money going out?

And finally, number three, I need women investing. The vast majority of women are waiting to invest or not investing at all compared to men, and it is leaving us significantly financially behind and financially unprotected. So I need you not just saving money or putting money in a checking account — I need it actually working for you in the stock market.

Caroline Woods: All right. Tori Dunlap, Founder of Her First 100K. Thank you so much for sharing your insights. Really appreciate it.

Tori Dunlap: Thanks for having me.