Taking money from retirement to pay off debt?

Mac Brown

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Be closer to home. Living near Spring and work in Med center. Takes me over an hour to get to work mist days. Also an ICU nurse and want to do different specialty. Slowly getting burnt out as bedside nurse


Ahh gotcha.... yeah spring to the med center seems like a pain. Ya'll nurses be working hard as hell it seems. And ya'll don't get the appreciation. Did you ever meet this sexy ass doctor?

 

MajesticLion

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You're trying to clear debt to give yourself room for racking up more debt. You'd be better off putting your skills to work, and/or investing, to make extra income, like someone else pointed out.

A hybrid plan including getting ride of the CC debt ASAP wouldn't be amiss either, depending on the rate. If they have you paying 20%+ you can avalanche-method that and give yourself extra pocket change for the baby...because you're gonna need it.
 

Turbulent

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General advice is to keep the retirement fund but don't contribute anymore to it. Just focus on paying it down as fast as possible with your income. The taxes and penalties seem like toom much for it to be worth it.
 

Booker Carver

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No which is another reason why i need some of this debt gone. DTI is too high
Gotcha. Sorry if I missed that.

My advice would be to come up with a budget. I use an excel spreadsheet to track everything. Stick to that budget and pay down your debt over time. I understand wanting it done quickly. I’m inpatient. I’ve done the same but I kick myself for taking money out of the market. I suggest getting disciplined with your budget so you don’t repeat this. Pay down your debts using the snowball method.

For DTI, what are you at right now? I’m a mortgage banker.
 

Umoja

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Speak to a financial adviser. Sometimes it is the sensible thing to do. I think they'll look at the interest rates on the payment of your loan, the growth of your investment and how much it will impact your anuity.

If speaking to a FA is too much, ask for projection values based on your existing fund value and your existing funding value sans 40k.
 

BunchePark

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idk bruh

#1 YOU CANT BORROW YOUR WAY OUT OF DEBT (not even from yourself)



if you the type to rack up debt you might just be right back in the hole

its like a fat bytch getting lipo with the same poor habits


and what is this lie about not being able to retire one day? who told you that lie?

wife and kid on the way?

repeat after me

"When I am ready, I will retire with no decrease in income/spending or quality of life"


its two nikkas in the world right now who both started with nothing

one is at walmart greeting n patting nikkas down for a fukking receipt (and chewing all they food on the left side)

the other is one laid up chilling trying to think of new ways to blow all this money in they account

its on YOU nikka


Happy Friday nikka hope you got paid today
 
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Have a 403B account with $40,000 in it. Have an annoying amount debt and baby on the way. Not struggling or anything but my life would be so much easier if I could pay off my car note ($18,000) and CC balance ($10,000). Only debt besides student loans which, I don’t give a fukk about and my wife's new car which she pays the majority. Is it worth it to pull from retirement? I know I’ll get 10% penalty and add taxes from more income.

After the baby is born and I’m leaving this job anyway. Just staying now for scheduling flexibility, have a ton of PTO, and want to keep wife on coverage until after delivery. Im an RN make little over $100,00 in Houston

And I’m truly skeptical if I’ll ever truly be able to retire the way America is currently going

Got a meeting with fidelity person a work next week.
Just wanted regular coli breh opinion :manny:
This depends.

What is your monthly amount per debt?
What is the interest rate per debt?
How far along the amoritization table are you with payments?

An option could be to borrow from your retirement account to pay the debts (a sort of refinance option) if this is permitted. This presumes you do not go back into debt and you can pay the new debt entirely within 5 years.


The above is not financial advice nor am I a financial professional ....
 

djthegreat88

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My advice would be to come up with a budget. I use an excel spreadsheet to track everything. Stick to that budget and pay down your debt over time. I understand wanting it done quickly. I’m inpatient. I’ve done the same but I kick myself for taking money out of the market. I suggest getting disciplined with your budget so you don’t repeat this. Pay down your debts using the snowball method.

For DTI, what are you at right now? I’m a mortgage banker.
43%
 
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