Thank you!

[Beccagold]

I just wanted to thank all of the helpful people on this board! Thanks to all of your help and advice this year I have:

• 6 month EF
• Paid off HELOC
• Paid off student loan
• Paid off both car loans... yesterday!!!

Now, we just have the mortgage with plans not to finance anything else in the future. I can't even begin to tell you how excited I am!

Of course, this just means I'll be posting more asking what to do with extra money.

[SnoopyCool]

Congratulations! I can't wait until I can post a similar thread!!

Great job... keep up the good work.

[Broken Arrow]

That's awesome! Congrats.

[boefixepa]

That is just wonderful!!! I bet you feel so FREE!!! Like you are floating on cloud nine....

(ppst...look into vanguard target retirement or index funds for an IRA once you have the in of 3k saced up...since you were going to be asking soon anyway...)

[Fern]

What a great feeling! You go, girl!

[moneymatters]

Wow, That is great news! I wish I had all of my personal debts paid off, right now. At least, I was able to pay off one CC two weeks ago, so now I have 3 CC's to go, and they all should be paid off by March 2008!

My next debt in line is my $22,000 student loan. I'm a college sophomore and have two more years before I graduate. Hopefully, I won't have to take out anymore student loans to pay for the remainder of the time I'm in school. One of my goals is to be completely debt free of personal debt then work & save to buy a house.

Congratulations to you! Now, that you have accomplished your goals, it would be good to treat yourself, frugally.

[Vapors]

Congrats! I am glad you decided to pay off the debt instead of investing the money. The no debt feeling is so worth it =)

[Ima saver]

Good for you. It does feel so good to be debt free!!

[Beccagold]

Congrats! I am glad you decided to pay off the debt instead of investing the money. The no debt feeling is so worth it =)

I'm glad too It's what I've wanted to do, just needed to hear the reassurance, I guess.

Now, to my next step of education: Scanner mentioned the IRA. I currently have 2 mutual funds. One with a lump sum, one with regular deposits, but they are not in IRA's. What is the benefit of an IRA if you have 401ks? If this is the stupidest question you've heard, I apologize in advance!

[scfr]

Way to go!

[Aleta]

Congratulations! You must be on cloud nine by now. Good going.

[fairy74]

Wow, that is really great!

[Vapors]

I'm glad too It's what I've wanted to do, just needed to hear the reassurance, I guess.

Now, to my next step of education: Scanner mentioned the IRA. I currently have 2 mutual funds. One with a lump sum, one with regular deposits, but they are not in IRA's. What is the benefit of an IRA if you have 401ks? If this is the stupidest question you've heard, I apologize in advance!

A 401k takes pretax dollars and allows you to invest them for retirement. You are taxed on the money invested, plus any gain, when you take distributions. A traditional IRA is the same thing (you get a tax break now on the money invested).

A Roth IRA on the other hand allows you to invest money now after tax for retirement. The money invested along with any gain is not taxed to you when you take the money back out. If you are still aways from retirement this is what you most likely will want to do. You can invest $4000 a year (more if you are over 50).

Many people will recommend that you utilize your 401k to maximize the full company match, then invest the rest in a Roth. If you max the Roth, then go back to your 401k.

If you have any other questions or if this isn't explained very well, just ask.

[Ima saver]

Yes, I would reccomend that you open a roth ira. You can live on that in retirement and not pay any taxes then.