I made some horrible decisions over the past year which led to me getting into about 55k of debt. The worst part is I was almost debt free until taking out a bunch of personal loans to try to pursue something. Needless to say it backfired and I’m now looking at 55k in the hole at ~10% interest. This kills me because I’m close to what I make in the hole. Pretax I make around 80-85k a year based on how much overtime I work. The payments on these loans is $1,300 per month and I can afford to pay $700-1100 on top of that each month too depending on overtime luck. I’ve got around 35k in my 401k. I feel like my life is going to be on pause until I can get this erased. Is there any point to contributing up to my company match in my 401k or should I consider stopping everything for the next few years till this is paid off? Also I’m not sure if it would be smart to withdraw from my 401k in this situation to at least pay off one of the loans. In that 55k is 9k of student loans that I currently had paid off 2 years in the future so I don’t necessarily have to pay anything to that for the next 1-2 years and it’s at 5% interest. Am I in over my head with what I make or should this be doable to climb back out of?
Submitted May 11, 2019 at 10:19AM by throwaway8811343 http://bit.ly/2HeZEm1
