New salary $120K, 401k 6% contribution with 4% match
Checking $600
Savings $18K, 2.21% money market account
Debt
-$12.4K car loan, paying $314 per month, 8.09% rate
-$2.5k student loan, paying $314 per month, 3.15% rate
Retirement
-$23K prev employer 401k 100% FXAIX
-$11k Fidelity Professionally managed rollover IRA, currently contributing $300 per month. 49% domestic stocks, 28% bonds, 21% foreign stocks, 2% short term (mostly FDFIX, FIBUX, FITFX)
I operate on fairly high expenses (rent, fitness, discretionary) and not willing to contribute more to retirement at this time, not sure I will or want to live long enough for it to matter but still contributing for now. Mid 30s, single, no kids, looking to potentially buy townhome ($300-350K range). Looking for advice on the best way to eliminate debt, and create an efficient down payment fund.
Suggestions/Advice for debt and savings consolidation with new job
byu/Greedy_Airline2421 inpersonalfinance
Posted by Greedy_Airline2421
2 Comments
Stop having your money professionally managed; you’re too young for bonds.
Use your savings to pay off the car. Pay the minimums on the student loan. Build up your retirement before saving for a house; you are very behind for your age and income.
Agree with everything that was said by the other guy, I’d also mention for the IRA just buy VTI or VT and don’t even think about it. You don’t need pay someone to do that. I’d also just open a Fidelity cash management account and use that for your savings. Put it in SPAXX (3.3% currently) and its still completely accessible, even with a debit card.