Should I Decrease Contribution to Employer 401k/Roth IRA

[Andre Jernigan]

Good morning everyone! I am in the beginning stages of real estate investing. I have continued to further my education on different aspects of real estate over the past few months and plan on continuing to do so. I have also recently begun getting rid of unnecessary debt obligations in an attempt to decrease my monthly expenses in order to save more capital for REI.

Being a finance graduate I understand the importance and "Magic" of compound interest therefore originally began contributing 15% of my income to an employer held 401k and Roth IRA. The company I work for matches around 43% for the quarter. After further research I have found that there is no limit aside from the $19K 401k limit and $6K Roth IRA limit. Having a bit of an understanding with finance, I understand this is probably a rare case which is why I originally had been contributing 15% of my income to the accounts.

After much contemplation I came to the conclusion that I preferred access to my own money and the ability to invest as I see fit. Moreover, I could invest that money in real estate and earn income as well as the chance for appreciation (an added bonus in my mind). I have gone back and forth in decreasing my contribution in order to save up more capital for my first rental property. My question is what are your thoughts on decreasing my contribution amount in order to save the Capital necessary to begin my real estate investing career? Or perhaps should I start looking for investors I could partner with to make up for my lack of capital and come up with a creative deal that is a win-win for both sides?