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Updated over 5 years ago on . Most recent reply

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10
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Komi Agbodzie
1
Votes |
10
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payoff personal debt vs investing

Komi Agbodzie
Posted

Hello All!

I am a newbie still educating myself and have not done a deal yet. I am stashing up cash (pre tax) for my first deal but now i am having a second thought and wondering if I should :

1) pay the tax and use the remainder towards my student loan

2) move the cash into my self directed  retirement account and  fund my 1st deal out of it (to defer  and lower my tax liability)

3) take the tax hit now and use the remainder to fund my 1st deal

Thanks in advance.

Most Popular Reply

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2,916
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Nicole Heasley Beitenman
#5 Medium-Term Rentals Contributor
  • Investor
  • Youngstown, OH
2,406
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2,916
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Nicole Heasley Beitenman
#5 Medium-Term Rentals Contributor
  • Investor
  • Youngstown, OH
Replied

@Komi Agbodzie Please, please, PLEASE do not listen to those who tell you to hold off on investing because of debt. I have used my investments to help pay down my student loans immensely. I would have been in a sinking boat without them when I started out. Debt payoff can take 10-25 years. It's crazy to tell someone to wait that long because of student loans. 

  • Nicole Heasley Beitenman
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