Absolutely, start contributing 7% to your 401k.
1. The 100% matching is outstanding.
2. The extra six months will add up well over time.
3. This is pre-tax dollars, so you'll also have a tax advantage for the year.
4. Instead of contributing $6k, you were thinking of paying off your debt, but since the $6k is pre-tax - you really don't have an extra $6k to put towards your debt.
Of course, this only really works, if and only if, you are dedicated to paying off your cc as soon as possible. If you end up taking years to pay it off, you will lose alot of the advantages of contributing to the 401k.
Pay off those BAD debt ASAP.
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