Quote:
Originally Posted by captainofiron
Hey guys,
question for you all, I have my work 401k maxed to what they will match (still have debts that we are trying to snowball) and I have my personal IRA which has all my roll overs from previous jobs.
I was thinking that when we pay off everything, except the house, I want to start contributing to my IRA, BUT since I am can only contribute post-tax I was thinking maybe a ROTH makes sense.
thoughts?
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ROTH IRA is the best gift the government ever gave you. Use it to the max if you qualify.
After that -- and you're truly debt free -- start tossing an extra $200 a month at the mortgage (or more or less depending on what you can afford). The interest rate isn't as important as the amount of MONTHS which grow into YEARS that you'll cut off your mortgage payments. Retiring with money in the bank/invested - and no mortgage and no payments.... oh yeah buddy! That's the way to enjoy your new found freedom!