Author Topic: newb  (Read 1969 times)

medicaldawg

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newb
« on: September 01, 2015, 12:04:59 PM »
Alright brand new so my mustache is only peach fuzz at this point so be gentle. I've got a 401k with a 9% match but had a medical emergency and had to tap out 12k I have 40k in it. I'm currently paying it back at a rate of 3% interest 100 dollars a week. I have about 120 k in debt including my house. No car loans. Wife has student loan of about 10k. We also have a stock purchase program with a 5% discount. HCA stock. I have approximately 10k worth. For  lack of a better term wtf should I do lol? I've opened a vanguard account. Should I start buying vtmix or what? Need some guidance

forummm

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Re: newb
« Reply #1 on: September 01, 2015, 12:18:21 PM »
You might want to post a Case Study on the Ask a Mustachian subforum with some more info (see the template there).
http://forum.mrmoneymustache.com/ask-a-mustachian/how-to-write-a-'case-study'-topic/

bensdlch

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Re: newb
« Reply #2 on: September 02, 2015, 08:39:38 AM »
A few questions:

What is your time horizon? (are you looking to retire in 10,20,30 years)?

Any kids in the picture now or near future (college funds)?

Setting up an emergency fund is always a great first step.

If that is done and you qualify for a ROTH or regular IRA, you should def look into those.

I'm new here but I assume many folks are big fans of Vanguard as am I. A Vanguard S&P 500 is the best option for a passive investor.

Rosy

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Re: newb
« Reply #3 on: September 02, 2015, 08:53:36 AM »
That 120K in debt doesn't mean much unless you elaborate on the numbers behind it. Mtg amt and interest, Consumer Loans - interest.
The link to the case study will steer you in the right direction so you can get some meaningful advice - right now it would be like throwing darts:)
What does your monthly budget - expenses look like??

medicaldawg

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Re: newb
« Reply #4 on: September 03, 2015, 12:01:29 PM »
A few questions:

What is your time horizon? (are you looking to retire in 10,20,30 years)?

Any kids in the picture now or near future (college funds)?

Setting up an emergency fund is always a great first step.

If that is done and you qualify for a ROTH or regular IRA, you should def look into those.

I'm new here but I assume many folks are big fans of Vanguard as am I. A Vanguard S&P 500 is the best option for a passive investor.
time frame is 15 years to retire.  yes a 19yo and a 18 both are in college and have student loans. yes i know bad decisions but given our economic teachings thats how we learned only here in the past few months have i learned better. I do have a vanguard account but no funds going that way first. Honestly im thinking of stopping all investments untill i become debt free then really sock it to it.
That 120K in debt doesn't mean much unless you elaborate on the numbers behind it. Mtg amt and interest, Consumer Loans - interest.
ive got 75k mtg with an 8percent intrest. i have 15k in medical and consumer debt. wife has around 15k consumer and medical bills. student loan of 10k at a 3% intrest. hope that helps a little

zephyr911

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Re: newb
« Reply #5 on: September 03, 2015, 12:22:54 PM »
time frame is 15 years to retire.  yes a 19yo and a 18 both are in college and have student loans. yes i know bad decisions but given our economic teachings thats how we learned only here in the past few months have i learned better. I do have a vanguard account but no funds going that way first. Honestly im thinking of stopping all investments untill i become debt free then really sock it to it.
Start with the highest APR% and work your way down; below that, focus on investing. At a minimum, max out your tax-deferred savings before paying off low-interest debt.

I have some consumer debt that I'd love to be rid of, but the rates are 0% and 2.25% I'm pacing it so I can max out my TSP, IRA, etc, and keep buying rentals, and not lose out on the 8-10% (or higher) returns that most of these investments earn. Between tax savings and employer match, a dollar sent to TSP earns almost a 100% return the same day.

Other things to consider:
Refinance the mortgage if at all possible. The rate is really high! I have two at 3.375%(my primary residence and a rental).
Maybe you can even cash out and roll some of that high-rate debt into it.
What are the rates on the consumer/medical debt? Can they be negotiated?