Personal Finance Happy 10th birthday to /r/personalfinance! |
- Happy 10th birthday to /r/personalfinance!
- Weekend Discussion and Victory Thread for the week of February 08, 2019
- (US) I have Wells Fargo, was supposed to be paid today but the direct deposit hasn’t gone through. I have no clue what to do
- FreeTaxUSA mishandles federal SALT deduction cap in state itemized deductions
- Bereavement errors made me remember why saving is important.
- 2018 IRA Contributions Don't End Until April 15, 2019!
- Is there a "catch" to Ally banking savings?
- Give me ONE acceptable reason why leasing a car makes sense financially for your average consumer
- I've had a "family member" steal my identity and need to know what more I can do to protect myself
- The most important line to read on a credit card statement is "purchases", I've decided.
- Coping with anxiety about money
- Should I stay with current employer or change?
- By bank ATM ate my cash and my bank won't credit my account
- Nightmare ex boss not sending last paycheck
- I have 10k in a savings account - Is there a better place to put it or let it sit?
- Should I put my vacation money in HYS until I need it?
- Sold shares from ESPP last year - did not receive 1099-B
- Withdraw from 401K or loan against home equity
- Almost $100k overall debt - looking for advice
- Your opinion on Fingerhut?
- Give two weeks notice but then walked out?
- Too much company stock, what is the best way to sell?
- Getting $180k inheritance, looking for a bigger house, need advice
- Credit Karma Prepaid Debit card for return?
- Pay off medical school loans more aggressively or buy a house?
| Happy 10th birthday to /r/personalfinance! Posted: 08 Feb 2019 08:34 AM PST Hello /r/personalfinance! It's been 10 years since /u/gen3ric created the subreddit and we thought this would be a good opportunity for a meta post to celebrate and discuss the subreddit. Some ideas for this thread:
Thanks everyone! P.S. We're hoping to add a few more moderators to the team. If you're a frequent participant on /r/personalfinance or an experienced moderator, you can submit an application here. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Weekend Discussion and Victory Thread for the week of February 08, 2019 Posted: 08 Feb 2019 01:05 PM PST If you need help, please check the PF Wiki to see if your question might be answered there.This thread is for personal finance questions, discussions, and sharing your success stories:
A big thank you to the many PFers who take time to answer other people's questions! [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 08 Feb 2019 03:23 AM PST I anyone else who banks with WF and had this issue I HIGHLY suggest you join me in closing your account ASAP and switching banks. The absolute lack of communication and shit coustomer service was my last straw. Credit union, here I come They are no help and it's been over 24 hours, does anyone know what's going on with the outage? I can't reach anyone at the bank and I'm screwed without my paycheck, anyone have any idea what I can do? I'm closing my account ASAP but I need the direct deposit money **Edit: see mod post for update. My update: came in to the bank to withdraw all my funds and they are saying that they can't verify my balance so I can only withdraw $1,000. Get away from this shitty bank ASAP. And for all the people commenting 'this is why you shouldn't live paycheck to paycheck' and 'you should have an emergency fund': care to explain exactly how that advice helps when the problem is not being able to access the funds in my bank account? Was I supposed to have foreseen this and been able to tap into the pile of cash I have hidden under my mattress? This is not an issue with not having money, it's an issue with not being able to access the money I have. I understand if your advice is to have multiple accounts with multiple banks as a failsafe but trying to dig me for not saving just completely misses the mark** [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| FreeTaxUSA mishandles federal SALT deduction cap in state itemized deductions Posted: 08 Feb 2019 12:24 PM PST This year I compared TurboTax and FreeTaxUSA and found that the latter mishandles itemized deductions in Maryland state. Posting for Marylanders and in case other states are similar, and since I've noticed a big push to FreeTaxUSA in this sub. Here's the discrepancy: Say I paid $11k in state and local income tax and $4k in property tax. That's $15k total, but for federal deductions it's capped at $10 due to the SALT deduction cap. To itemize in Maryland, instructions say to start with your federal itemized deductions and subtract the state and local income taxes used for the Federal deduction. FreeTaxUSA sees that I had over $10k in state and local income tax, and so subtracts the full $10k from my itemized deductions, ignoring the property tax portion of the deduction. TurboTax correctly applies the $4k property tax and only $6k of the state and local income tax to the federal $10k SALT cap, and therefore only subtracts $6k from my itemized deductions. That extra $4k in deductions is worth over $300 in state taxes. I contacted FreeTaxUSA, but just a heads up if you are in a similar situation with that software. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Bereavement errors made me remember why saving is important. Posted: 08 Feb 2019 10:51 AM PST Just had to share this experience. Last week, I took off work for bereavement (which my company covers). I just had to submit a special timesheet before I left. I completed that and sent it to our payroll department who emailed me back saying they received it and it was done correctly. I did not check my email while I was off. When I got back, however, I had emails filled with automated messages saying they didn't receive my timesheet for the week and my pay would be withheld. I emailed payroll and it turns out that they had forgotten to forward my timesheet to the appropriate people. I was supposed to get paid last Friday, but due to the errors did not receive my paycheck. They mentioned that I would need to request a hard copy of a check rather than having it automatically distributed to my account. I typically get paid bi-monthly, but due to this error, I will not be getting my first paycheck until the same time I get my next paycheck. Typically, The first paycheck of the month goes directly to rent, and monthly bills. I am so grateful that I have been doing a good job of saving funds and have my emergency fund set up. I didn't feel the hit, but would have if I had not been prepared. Money is the last thing I want to be worried about during this time of grief. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| 2018 IRA Contributions Don't End Until April 15, 2019! Posted: 08 Feb 2019 03:42 PM PST For those of you in the US who may be unaware (such as myself a few hours ago), you can continue to make contributions to your Roth/Traditional IRA for the year of 2018 until April 15, 2019. The maximum contribution for the 2018 year is still $5,500, but will go up to $6,000 for the 2019 year. If you have any extra money around and could use a tax break for the 2018 year (note: the tax break only applies for contributions to a Traditional IRA), this could be a great opportunity for you to get more on a return and save towards your future! Even if your tax return is in good shape, if you have the ability, use an IRA! Contribute something if you have the means to do so. It can be a great service to yourself in the future. If you'd like to know more about IRAs or retirement in general, this subreddit has a great resource in the wiki. I also encourage everyone to do their own research to make the best decisions for themselves. Hope this helps some of you out there! [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Is there a "catch" to Ally banking savings? Posted: 08 Feb 2019 06:03 AM PST Hi all, I've got about 12k in a savings account with essentially no interest. I was told I should just make an account with Ally so I'd get 2.2% interest instead of nothing. Is there a catch to any of this? Any cons I should be aware of? Thank you for the help. Edit: thanks everyone! Lots of good info here [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Give me ONE acceptable reason why leasing a car makes sense financially for your average consumer Posted: 08 Feb 2019 02:06 PM PST I cannot think of a single reason. Looking for some help collaborating. To be clear, I am NOT looking for the following responses: "Because they're pretty!" "I got a good deal!" "I was forced to get a lease because xyz" I'm trying to wrap my head around why an average consumer thinks that it's a financially wise decision to lease a car over any other option. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| I've had a "family member" steal my identity and need to know what more I can do to protect myself Posted: 08 Feb 2019 01:48 PM PST So, around November I started to get a bunch of inquiries that I had never authorized. I started calling around to these places trying to figure out where they were all coming from. Finally after putting a fraud alert on my report I get a call from Wells Fargo who then informed me that the application for a credit card(s) was coming from an IP address in my home town that also listed my "family's" address on the application. Before I knew who it was I had called the police to file a report. But now that I know who it is they have a warrant out for their arrest. Said family member is on probation so it shouldn't be too long. I also have a freeze on two credit bureaus' accounts but Experian is making it a lot more difficult and definitely not quick. So, what I need advice on is what can I do to protect myself even further until charges get pressed? I know this person has told their SO my information as well so if they don't get picked up they could still be trying to use it. What if some things fell through the cracks and there's different credit still open in my name and when it doesn't get paid it will affect my credit score? I ordered my annual credit report but I'm afraid they might send it to my family's address because the bureaus still list that as my own address. They also require you send your change of address by mail which also slows down the process. If these places don't get paid and it goes to collections is it too late for me to tell them I'm a victim of identity fraud and I'll be responsible for that debt? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| The most important line to read on a credit card statement is "purchases", I've decided. Posted: 08 Feb 2019 05:40 PM PST Late last year I added up my credit cards and realized I was over $8K in debt. I knew I hadn't been able to pay off the balances in a while, but every month I'd shrug, try to use the card less, try to do better. When I added them all up I was shocked. I started combing through the statements to see where I was going wrong. Turns out there was a lot I could cut out, so I set myself a goal. I paid as much as I could towards the higher interest one - it earns more cash back, so I was using it the most, then realized that was a terrible idea and cut it up. My one card I'd use for gas/repairs/emergencies I paid to an even balance that I checked every single day so I'd know how much I had SPENT - if I started the month at $5K on it and the balance was $5,700 I instantly knew I'd spent $700 so far. I realize this sounds totally obvious, but at 38 years old I just realized that if my spending is more than what I make, my debt will go in the wrong direction. I know what I earn every month so I easily figured up what that "spending" line had to be if I was going to start chipping away at debt. Credit card statements have these huge obvious boxes now about how your minimum payments work, and that's great, but I wish they'd highlight "hey here's what you SPENT this month!" Today I'm about $4K in debt, a number that still makes me sad but at least I've been moving the right direction. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Coping with anxiety about money Posted: 08 Feb 2019 11:32 AM PST I have recently moved to a new high paying job that will pretty much get me out of debt in the next 6-8 months, but I haven't had a good night sleep in weeks, all I think about is money and I find myself late at night crunching numbers and thinking about hypothetical situations in the future. I know this might be a little selfish because some people might say it will take them years, but I was wondering if anyone here has gone through the same situation and how to cope with it. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Should I stay with current employer or change? Posted: 08 Feb 2019 07:13 PM PST I am currently 18 years old and am a part time student at a university majoring in Civil Engineering. I've been interning at an engineering firm since June of 2018. When I began as an intern, I've learned a lot and gained work experience but now feel like a sitting duck. Toward the end of 2018, my team (consists of 3 people: My boss, coworker, and me) was bombarded with projects due before New Years. Since I am not as skilled as my team (I'm not trained to work on the software they use), there's literally nothing I can do to help. So I'm tasked to scan books and catalog them on the network folder. A task that took 2 months. During this time my boss kept complaining how there's not enough time, and needs more help to finish the projects. I've mentioned to him before that I can help him if he trains me. My boss claims he doesn't have time to do so. My coworker also mentioned to me that he tried to convince our boss to train me instead of looking to hire a 4th person. Some weeks ago, my boss went out for lunch, so my coworker had a quick training session with me. When my boss came back, he interrupted us and prompted us back to work. After that, my boss claimed he'll train me and give me a raise in January when the projects die down. This doesn't seem to be happening anytime soon. January comes along and I finished the long tedious task of scanning 10+ years of engineering notes and catalog them accordingly. I guess they didn't expect me to finish as fast as I did because my boss pretty much told me to sit tight because there's nothing I can help them with (because I'm not trained...). I've taken matters into my own hand and started training myself little by little. I'm on Youtube, forums, and guides pretty much all day trying to learn the software. Honestly, at this rate it'll take me months to become even a little "helpful". I feel like I can get the same experience and learn more from my field elsewhere. I've talked to one of my mentors who works at another engineering firm about my situation. He told me I'm wasting my time there and could work with him if I wanted. A couple things holding me back before I pull the trigger and change employer is this company is very lenient with my schedule (I pretty much make my own work schedule), the location (it is a 20-30 minute commute from my home and university). Since I'm only taking 3 minor classes this semester, my school schedule should be fairly easy to work with. In addition to that, my school is located near the metroplex so it wouldn't make too much of a difference. My question is should I continue teaching myself and make it to the 1 year milestone with this company? Should I change employer? Or what advice can r/personalfinance give me? All advice is appreciated. Thanks in advance for the help. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| By bank ATM ate my cash and my bank won't credit my account Posted: 08 Feb 2019 05:27 PM PST This morning I went to my friendly neighborhood bank and I deposited $440 in cash. In 10+ years of banking I have never had an issue depositing cash in ATMs. But today, as soon as the machine took my money the hamster wheels started spinning for five or ten long minutes, then the screen said "Logging off" , it went blue, then black, then a message popped up saying "out of service". I check my balance and there is no record of my $440 I just depositied and of course- I have no paper reciept to prove I made the transaction. So, this atm is attached to the outside of the back. It is in the drive thru lane. So I go around and walk inside and go right to the manager. I tell him what the atm just did and he has me fill out a form for "lost funds". He says at the end of the day, the will have their people count all the money in the atm and if my extra funds are there they will put them into my account and I will see them in my bank account at the end of the day around 5 or 6 pm when the bank closes for the day. So, It's now 10pm at night and I am checking my account and the money if nowhere to be found. So obviously whoever counted the atm money either pocketed my $440 for themselves or it's still wedged in the machine in so dark crevice they have yet to uncover. Either way- I am out a heck of a lot of money that is my car payment for the month. I am really getting mad. Any thoughts? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Nightmare ex boss not sending last paycheck Posted: 08 Feb 2019 12:21 PM PST Quit a job after dealing with the worst boss ever. I used to help with payroll so I know the checks are sent out by the 5th at the latest. It's now the 8th, and over 2 weeks since I quit my job in the first place. She doesn't answer my calls or emails. What can I do? This is in California btw. Any help appreciated! [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| I have 10k in a savings account - Is there a better place to put it or let it sit? Posted: 08 Feb 2019 05:20 AM PST General Information: I make about 42K before taxes. I have a full time job and this year I worked a lot of overtime. I decided to get serious about saving about 2 years ago. I started small with a goal of getting out of living paycheck to paycheck. I'm out from under paycheck to paycheck now and my living expenses are relatively low. Aside from my savings I'm usually floating 500-1100 in my primary checking every month. I have a third account that I made for "Fun money" that I contribute 50 dollars to every 2 weeks. Even that is about to hit 2k since I haven't had much time for "fun stuff". I also have an outside checking account that I considered my Absolute emergency money with about 600 dollars in it. All of my accounts have auto deposits so when I get paid that money automatically is out of my main checking. So I guess I'm curious - Should I be putting some of that savings elsewhere? Are there better ways that I can create a grander nest egg for the future? I already contribute to a 401K via my employer, but it's not that fantastic in terms of matching. I'm 28 and completely clueless about stocks, bonds, or other investments. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Should I put my vacation money in HYS until I need it? Posted: 08 Feb 2019 03:56 PM PST Hi PF, I use YNAB4 for budgeting and I decided this year that I'm going to try to fly to a destination every month/other month. I have about 7 destinations lined up so far, each with roughly $300-$400 allocated to them (will continue to add to each category as paychecks and cash comes my way). If i don't have a trip until September (will probably book 2 months before), would it be wise to move my money to my HSY until i need it? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Sold shares from ESPP last year - did not receive 1099-B Posted: 08 Feb 2019 06:04 PM PST I sold ~100 shares of discounted company stock in 2018 for a profit of ~$1000 using Fidelity as the broker. These stocks were obtained as part of the Employee Stock Purchase Plan. The Fidelity website stated that the consolidated 1099 forms should be available by 2/1/19 online, however, I have yet to receive the consolidated 1099 / 1099-B form. Several of my coworkers report that they did not receive this form either. The only thing I received so far is a 1099-DIV for the small amount of dividends earned on the stocks in 2018. I also received Form 3922 from my employer. FWIW, the ~$1000 profit was reported on my W2 as income and this is a disqualifying disposition. I plan on reaching out to Fidelity next week to request an ETA on the 1099-B form. That being said, would it be possible to file taxes with Form 3922 without including Form 1099-B? This is the first time I used the ESPP, so any guidance would be greatly appreciated! [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Withdraw from 401K or loan against home equity Posted: 08 Feb 2019 05:58 PM PST My wife and I are in the process of making changes to our budget and working towards debt free living. The end goal is to increase cash flow so that we can pay off all debt in 3-5 years time. The current discussion on the table is do we either take $40K out of my 401K and pay everything off, take a $40K loan against my 401K, or take a loan out against the equity of our house? I am adamant against taking the money out of my 401K due to the long term hit that will be incurred. She is adamant against borrowing against the equity because we have borrowed against it for smaller amounts three times before. (Always paid back with no penalties.) I have ~$75K vested in my 401K, and the house has $100K of equity, and together have $225K total net assets. We do understand that in the case of a loan the interest rate and length would have to be considered and calculated. Which direction would be the wisest course of action? Or might there be other options we do not know about. Thanks. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Almost $100k overall debt - looking for advice Posted: 08 Feb 2019 09:31 AM PST Hi all, I've known for a while that my wife and I had a lot of debt from student loans, car loans, credit cards, etc - but never realized how bad it was. I'll admit, in the past we haven't paid very close attention to our finances, and now that we have a full understanding of exactly how much debt we are in it's overwhelming. We are looking for some suggestions on approaches we can take to chip away at this mountain of debt and lower our interest rates. Below is our financial summary: Current monthly net income: $5,925 Projected monthly net income as of May 2019: $9,765 (recently left job, projected income is after I gain employment). Her credit score: 780 My credit score: 725 note: my credit score has recently went down due to high balance and opening another credit card (best buy, already paid off). Current checking account balance: $5,850 Current savings account balance: $1200
We are both actively trying to change our mindsets when it comes to the purchases we make (wants vs. needs), but definitely need some suggestions on how to budget effectively and reduce our debt. With our credit cards, we initially opened them for the travel points (which was great) and payed them off right away. However, we got carried away in the past year or so and also fell on some hard times and had to charge a lot of our expenses to the card. Our plan is to budget according to the current net income, and use the additional income in the coming months to make additional payments to our high APR loans (credit cards first). Also, there is no wiggle room with rent as we are locked into our lease for the next 4 months. A few questions:
I appreciate any help and advice you can give us! [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Posted: 08 Feb 2019 05:38 PM PST I've heard the shipping prices are outrageous, but I haven't checked for myself. What are your opinions on it? I'm looking for a site where I can buy things and pay monthly but so far the only reputable companies I've found are AfterPay and Sezzle which are for clothing pretty much. So is Fingerhut really that bad? Are there other options? I don't have enough credit for a credit card either :( [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Give two weeks notice but then walked out? Posted: 08 Feb 2019 07:46 PM PST If I give notice of leaving and they decide instead to walk me out at that time, is that still voluntary termination? I am a manager at a global company with access to information and I've heard this has happened before at this company although only from indirect sources. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Too much company stock, what is the best way to sell? Posted: 08 Feb 2019 05:34 PM PST I was lucky enough to get a job right out of college with an innovative and fast growing company. Now I'm 27 and company RSUs makes up about >90% of my net worth ($500k). I would like to unload most or all of it, but want to avoid any pitfalls or excessive taxes. Kind of a general question but is there anything in particular I should watch out for or try to manage as I sell? What kind of professional adviser should I seek out to also get additional advice? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Getting $180k inheritance, looking for a bigger house, need advice Posted: 08 Feb 2019 03:55 PM PST Hi all, Here are my financial stats: Currently make ~$50k a year. About to inherit $180k. Currently live in a house with $660 mortgage payment and $68k left on the loan. Realtor says I could list it for $165k and the Zestimate for rent is $1200. Wanting to move into a house in the $300-$350k range. So what is the best course of action for me. Sell my house and make a massive down payment on the new house? Sell and set up a floating rate fund? Keep my current house and rent it to offset the mortgage payment of the new house? What makes most sense to the financial wizards here? [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Credit Karma Prepaid Debit card for return? Posted: 08 Feb 2019 05:20 PM PST Should i load my refund from the IRS onto the prepaid card from credit karma? I have a bank account but would love to see how quick they can make it happen. [link] [comments]  | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
| Pay off medical school loans more aggressively or buy a house? Posted: 08 Feb 2019 08:18 AM PST Hi all! I have a question that is somewhat specific to my circumstances so I thought it would be worth posing to this community. The short story is that my wife and I are both physicians in training. We have about 4 years left of training, during which we will each be making around $65,000. Our income after 4 years will be much higher once we get full physician jobs. Unfortunately, I have about $300,000 in medical school loans looming over me. I am paying a little more than the interest that accrues every month but have not been making much progress towards the principal. We are moving to a city in the Southeast U.S. that has a more reasonable COL. The area is booming (for now) with property values that have been rising over the last 5-10 years. As such, we are considering buying a house. We are unlikely to stay in this city beyond 4 years but would consider holding on to the property and renting it out as we have family close by. My question is: does it make more sense to continue renting and put every extra penny towards paying off my loans as aggressively as we can or to use this money to invest in a home? We don't know if its better to continue to tread water on the loans in the hope we can make a bit of money later renting out or selling the house. I am going to continue paying off the monthly interest that accrues + a bit more regardless. The hitch is that after our income increases in 4 years, paying off the loans will become way easier/faster. Appreciate any thoughts/advice! [link] [comments]  |
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