Anonymous wrote:

Anonymous wrote:At first glance, your car loans seem high for your situation. How close are you to getting those paid off?

How much money do you have in savings currently? in 529's? In retirement accounts?

car loans will be paid off in 2017

Have 3K in savings, 10K in 529s, and my 401K is about 250K

Anonymous wrote:started a new thread:


NP here -- what do you suggest with $250K in student loans, only contributing to retirement to company match (5%), and two kids in high school with $10K saved for each for college. (DW and I are in our mid-50s.)

(And no, we do not live in a $1mm plus house, have nice cars and have iPhones. We live in a $hitshack, have 12 yo cars and company-provided phones.)

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You claim you live in a shitshack, but with that mortgage, it's tough. Honestly, I'd sell your place and rent something for awhile. After all, your kids are moving out within a couple of years anyway. Throw every cent of anything you make from the sale of the house at your student loan debt. Then trim EVERYTHING from that budget and start chunking it at your debt.

Dave Ramsey would tell you to stop all savings -- of all types-- and throw everything at your cc debt until that's gone, then attack your car debt (or sell your nice cars and buy beaters), then go for your student loan debt.

It's going to take you years to pay all of this off and if your wife already has $300k in her 401k, you may just need to let that sit and churn while you get rid of this crazy noose around your necks.

I disagree because of the transaction costs of moving. They will probably spend 80k just to move. It's not worth spending 80k to pay down 100k or so in loans.

I would definitely consider moving after the kids are gone though. I'd think about renting a small 2 bedroom in a location where you can walk/transit to work. Cars are expensive and a huge waste.

Who in the hell pays 80k to move? Who do you hire to move your things? Mr. Carson and the Downton Abbey crew?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:You claim you live in a shitshack, but with that mortgage, it's tough. Honestly, I'd sell your place and rent something for awhile. After all, your kids are moving out within a couple of years anyway. Throw every cent of anything you make from the sale of the house at your student loan debt. Then trim EVERYTHING from that budget and start chunking it at your debt.

Dave Ramsey would tell you to stop all savings -- of all types-- and throw everything at your cc debt until that's gone, then attack your car debt (or sell your nice cars and buy beaters), then go for your student loan debt.

It's going to take you years to pay all of this off and if your wife already has $300k in her 401k, you may just need to let that sit and churn while you get rid of this crazy noose around your necks.

I disagree because of the transaction costs of moving. They will probably spend 80k just to move. It's not worth spending 80k to pay down 100k or so in loans.

I would definitely consider moving after the kids are gone though. I'd think about renting a small 2 bedroom in a location where you can walk/transit to work. Cars are expensive and a huge waste.

Who in the hell pays 80k to move? Who do you hire to move your things? Mr. Carson and the Downton Abbey crew?

Anonymous wrote:

Anonymous wrote:You claim you live in a shitshack, but with that mortgage, it's tough. Honestly, I'd sell your place and rent something for awhile. After all, your kids are moving out within a couple of years anyway. Throw every cent of anything you make from the sale of the house at your student loan debt. Then trim EVERYTHING from that budget and start chunking it at your debt.

Dave Ramsey would tell you to stop all savings -- of all types-- and throw everything at your cc debt until that's gone, then attack your car debt (or sell your nice cars and buy beaters), then go for your student loan debt.

It's going to take you years to pay all of this off and if your wife already has $300k in her 401k, you may just need to let that sit and churn while you get rid of this crazy noose around your necks.

I disagree because of the transaction costs of moving. They will probably spend 80k just to move. It's not worth spending 80k to pay down 100k or so in loans.

I would definitely consider moving after the kids are gone though. I'd think about renting a small 2 bedroom in a location where you can walk/transit to work. Cars are expensive and a huge waste.

Anonymous wrote:You claim you live in a shitshack, but with that mortgage, it's tough. Honestly, I'd sell your place and rent something for awhile. After all, your kids are moving out within a couple of years anyway. Throw every cent of anything you make from the sale of the house at your student loan debt. Then trim EVERYTHING from that budget and start chunking it at your debt.

Dave Ramsey would tell you to stop all savings -- of all types-- and throw everything at your cc debt until that's gone, then attack your car debt (or sell your nice cars and buy beaters), then go for your student loan debt.

It's going to take you years to pay all of this off and if your wife already has $300k in her 401k, you may just need to let that sit and churn while you get rid of this crazy noose around your necks.

Anonymous wrote:

Anonymous wrote:Do you not have any life insurance OP? I don't see a line item in your budget for that. Also, what are you spending on kids activities, car insurance, clothing?

Life insurance is through wife's employer (not sure on the cost; deducted from paycheck)

Kids activities -- about $100-$150/month

Car insurance -- not sure, but will be going up when we add DS as a driver this year

Clothing -- spent about $500 on clothes at Christmas

(All these #s are in an Excel spreadsheet at home.)

Anonymous wrote:Do you not have any life insurance OP? I don't see a line item in your budget for that. Also, what are you spending on kids activities, car insurance, clothing?

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Here's our rough budget -- I don't have it here at work, but they are rough numbers.

car loans 575
credit cards 350
529s 400
savings 250
gas 300
groceries 1000
medical OOP (Rxs and therapy) 450
mortgage 3350
student loans 1000
utilities 300
internet 250

We have health/dental insurance from FEHB and vision through my wife's employer.


(She has about $300K in her employer's 401k and a pension plan.)

Why is internet $250? Does that include cable / phones?

verizon FIOS -- wife works from home and we have to pay for our own internet

That still doesn't make sense. The only plans I can even find on the fios website that are that high are business plans where you need to have lots of people accessing the internet simultaneously. I work from home several days a week and have been just fine with my regular old internet service.

Given the high out of pocket medical costs, I hope you do a health care FSA. I would also be seriously looking at different plan coverages to see if there's one that's a better fit for the Rx or offers some reimbursement for out-of network therapy.

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:Here's our rough budget -- I don't have it here at work, but they are rough numbers.

car loans 575
credit cards 350
529s 400
savings 250
gas 300
groceries 1000
medical OOP (Rxs and therapy) 450
mortgage 3350
student loans 1000
utilities 300
internet 250

We have health/dental insurance from FEHB and vision through my wife's employer.


(She has about $300K in her employer's 401k and a pension plan.)

Why is internet $250? Does that include cable / phones?

verizon FIOS -- wife works from home and we have to pay for our own internet

That still doesn't make sense. The only plans I can even find on the fios website that are that high are business plans where you need to have lots of people accessing the internet simultaneously. I work from home several days a week and have been just fine with my regular old internet service.

Given the high out of pocket medical costs, I hope you do a health care FSA. I would also be seriously looking at different plan coverages to see if there's one that's a better fit for the Rx or offers some reimbursement for out-of network therapy.