MoneyClaude:

I'll help you develop a balanced approach to handle both your debt and investment opportunities. Let me break this down into a comprehensive recommendation.

First, I need to understand the nature of your debt to provide the most effective advice:
- What types of debt do you have (credit cards, student loans, personal loans, etc.)?
- What are the interest rates on these debts?
- What are the monthly minimum payments?

This information would help me give you more targeted advice, but I'll provide a general strategic plan based on common financial principles:

1. Emergency Fund First
- Set aside $3-5K of your $25K as an emergency fund if you don't already have one
- Keep this in a high-yield savings account (currently offering 4-5% APY)

2. Debt Management Strategy
- High-interest debt (like credit cards at 15%+ APR) should be prioritized over investing
- Lower-interest debt (like federal student loans under 5%) can be managed alongside investments

3. Investment Allocation
Without knowing your debt interest rates, here's a conservative approach:
- $5K for emergency fund
- $15K toward highest-interest debt
- $5K for investment starter portfolio

4. Timeline and Implementation
Month 1-2:
- Establish emergency fund
- Create debt paydown schedule
- Set up automatic payments for debt

Month 3-6:
- Begin aggressive debt paydown
- Start small, diversified investment portfolio
- Track progress and adjust as needed

Would you be willing to share more details about your debt (types and interest rates)? This would help me refine this plan to better suit your specific situation.