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comment by ButterflyEffect
ButterflyEffect  ·  3628 days ago  ·  link  ·    ·  parent  ·  post: That Nest Egg Needs To Last As Long As You Do. So How Do You Start? : NPR

Doesn't it make more sense to pay off student loans in full and building up an emergency fund / building up credit then investing in an IRA after the debt is paid off?

I'll be making contributions to a 401k to max out what I can get matched by my employer, but that will be about it outside of savings until I have no student loans (which are quite a lot of $$$). That's the current plan, throw a ton of the money I'll be making at my student loan debt to try and pay it off in 5 years, then aggressively pursue retirement fund options. Maybe it's not a good one?





b_b  ·  3628 days ago  ·  link  ·  

    Doesn't it make more sense to pay off student loans in full and building up an emergency fund / building up credit then investing in an IRA after the debt is paid off?

All depends on the interest rate. Yours are probably 6.8%, no? At that rate, which sucks a fat dick, paying them off is probably a good idea, because that's just about the average market return over the long haul. Mine are 2.3%, because they're from years ago, and I'm paying them off as slow as the government will let me (which is very slow).