Any debt? Pay it off. I will have a little extra money this year, outside of my normal index fund investments, and I'm considering CDs, bonds, and bond funds. I think (imho) that stocks are a little pricey right now, so you might wait for a dip or correction, and add on to your index funds. With a 4 or 5 year horizon, I think more money in index funds might be a good idea. I read a great article by MMM yesterday where he found a Vanguard fund that was 60% stocks and 40% bonds with very low fees. Thought this was very cool and convenient. I'm with Fidelity, so I might also try to find a bond/stock etf with low fees. This is a new area to me, so I will be researching in the coming months.
Good luck and let us know what direction you take. I may follow suit.
Also, I have $55K left on the mortgage to pay off, which will probably take me 5 years to pay off. I'm shooting for 2.