I make a base salary of 38,000 a year. With overtime I can push it to $50-55k, but that comes with working a lot of overtime. As a single income family (at the moment; Wife may go to work as child gets older, but we are unsure) I feel that the time it takes to save up and end up buying & paying off a house I'm missing out on the investing I need to make to be able to retire.
I have a good retirement account with my employer and am estimated at current projections to have around $800,000 in savings when I retire. That's investing a mandatory 7% (can't opt in for more or less) with employer match at 225%. (Not sure what the max amount is for their contributions - Will find out soon).
I've been following Dave Ramsey's advice. I liked his plan because of the psychological part of it and it's helped me, but I feel that at my income it will take too long to buy and pay off a house.
We are currently saving up our Emergency Fund. I am having difficulties deciding what my EF should be. I have an extremely stable job (mostly because it's nationally short staffed year round) so unless I do something to get myself fired, I'm not losing my job. I know my EF is liquid cash for things like car breakdowns, water heater replacement, etc etc; so I was thinking I should stick more along the lines of a 4 or 5 month EF for now since I rent.
My question is; When should I stop saving up aggressively for a house and focus on my 15% retirement investment and start investing in the stock market?
Submitted March 27, 2021 at 03:26AM by BrostFyte https://ift.tt/3fiHaCt
