If you cash out of your 401K before retirement you'll get hit with a penalized withdrawal fee of 10%. That goes on top of the marginal tax rate you pay now. So if 22%, 24%, 32%, etc., add another 10% gaffing from the IRS. What fuckers.
What has your yearly % increase/decrease been on funds in your 401K so far? A 3% rate going forward would mean your funds are barely working. At your age you should be seeing 9-15% or more. If 9% average over 24 years is $230K+ with no additional deposits -
In your position I would find a fee based financial advisor. You pay them for their advice, it's the only money they collect from you. You absolutely do not want an advisor that collects from investments they guide you to buy into. A fee-based one will review the funds your current 401K offers and help you decide how to reallocate what's in your 401K now. You could also throw darts at the funds available in your current 401K and do better.
If you have a mortage, is your current interest rate lower than 3.3%? That's the highest re-fi rate on a 30 year fixed mortgage, there are many tiers lower especially if you chop off years. We started out with a 30 year ARM, re-fi to 20 year fixed, re-fi again for 10 year fixed, house paid off 14 years from purchase. Each time we got a lower finance rate, paid extra on principal only, and got out from under the "pay for your house 3X with your after tax money" scam as quickly as we could. If you get rid of your monthly nut you'll have plenty to sink into other assets. So if you have not done a re-fi, consider it asap.
If you cash out of your 401K before retirement you'll get hit with a penalized withdrawal fee of 10%. That goes on top of the marginal tax rate you pay now. So if 22%, 24%, 32%, etc., add another 10% gaffing from the IRS. What fuckers.
What has your yearly % increase/decrease been on funds in your 401K so far? A 3% rate going forward would mean your funds are barely working. At your age you should be seeing 9-15% or more. If 9% average over 24 years is $230K+ with no additional deposits -
https://www.dollartimes.com/savings/
In your position I would find a fee based financial advisor. You pay them for their advice, it's the only money they collect from you. You absolutely do not want an advisor that collects from investments they guide you to buy into. A fee-based one will review the funds your current 401K offers and help you decide how to reallocate what's in your 401K now. You could also throw darts at the funds available in your current 401K and do better.
If you have a mortage, is your current interest rate lower than 3.3%? That's the highest re-fi rate on a 30 year fixed mortgage, there are many tiers lower especially if you chop off years. We started out with a 30 year ARM, re-fi to 20 year fixed, re-fi again for 10 year fixed, house paid off 14 years from purchase. Each time we got a lower finance rate, paid extra on principal only, and got out from under the "pay for your house 3X with your after tax money" scam as quickly as we could. If you get rid of your monthly nut you'll have plenty to sink into other assets. So if you have not done a re-fi, consider it asap.