Quote:
Originally Posted by hometeam
I have been making 40-60 grand a year for about 12 years. I have no savings, no retirement (I started to build one at one point but cashed it in in an emergency)
About 20k in high interest debt, 30k in low interest debt, and owe about 78k on my house thats worth 85. (edit: recalculated, 22k in high interest, 17k in low interest with 12 of that at 0%)
Unfortunately at this new company I'm not vested for 6 years, but I will max. My 6 percent for the 3 they give.
I dunno really anything about any kind of IRA, no idea what a brokerage account is. I have kind of been living paycheck to paycheck and doing racecar shit :/
I am going to start researching investments as well, but I wont start investing until i get my 10k CC debt paid off, hopefully feb/march. My house is at 5.25 right now which is higher than I can get, but I wanted to finish the transition to the new job before I went in for a streamline refi at somewhere around 3.25.
|
DaFace's post says it all in terms of the priority list. Get that CC paid off asap.
Once you pay off the CC and have started the matching 401(k), etc. what you would REALLY like to do is refinance the house and NOT pay PMI. This requires that you have paid down 20% of the house based on valuation. PMI is money out of your pocket solely for the benefit of the bank and is COMPLETELY BAD.
Here are your numbers:
Quote:
|
owe about 78k on my house thats worth 85
|
So, what you're looking to do is (1) be certain it's worth $85K, and (2) cobble together $17K so you can refinance to get a loan for $68K at a LOWER interest rate and NO PMI.
That will save you quite alot every month. Based on your numbers, you already have $7K of that $17K, so you need $10K more to make it happen.