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[quote=Anonymous][quote=Anonymous]GS14 step 8. Should I take a TSP loan or suspend contributions?

Debt: $46k in CC.  TSP loan can cover 75 percent. My contributions are $12000 a year. If I kill my contributions I also lose the agencies 4 percent.

I am already cutting back on everything else.

TIA

Fed Bill![/quote]

Sorry about your divorce.  I would contribute 5% to TSP and continue to do that to get the match (it's 5%) and also the tax deduction.  If I calculate it right, you are currently contributing about 9%, so you could cut back to 5% and have some extra income.  Put that toward your CC debt.

I would put all my budget, accounts etc. into either YNAB (You Need a Budget) or mint.com or some other financial tracking software.  You'll see pretty quick where your money is going.  Look at everything going out and try to figure out how to cut each bill.  If you can cut your phone bill by $20, your insurance by $25, cut groceries by $100, etc., you can put that toward the highest % credit card.  Or the one with the smallest amount.  You can also call each one and ask them to lower the % on the account.

This is all to say that you should work within your take home and not borrow from TSP.  Terrible idea!  And don't borrow from your HELOC either or you'll lose your house.  I agree about trying to get a roommate-- you can easily get $800 a month.  Good luck![/quote]

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