Question to throw out there:
I am graduating residency in 2 months (29yrs old) and starting 1099 earnings in July for about $400K annual salary. My wife makes approx $60K. I refinanced my loans with DRB last year and have been paying very very aggressively during my last year of residency (while maxing out a SEP and wifes 401k) and am down to $128k at 3.5% fixed. I have a friend who paid off his $200k in 15 months. I'd like to pay out 10-13k per month after July and get the loan knocked out in 10 months, but I will likely only have funds to max out my SEP as well. Would I be better off just making a little over the minimum payment (say $4000) and paying it off in the 3.5 years while putting the other funds to retirement accounts/other investments or should I just take the hit on one year of retirement/investing and pay off the loan in a year? I feel like paying it off fast would be a huge burden off our backs but am also disciplined enough to do it slower if that is the better long term plan. Any thoughts and any suggestions for other places to put that extra $ each month or should I just pay into the loan like crazy?
I am graduating residency in 2 months (29yrs old) and starting 1099 earnings in July for about $400K annual salary. My wife makes approx $60K. I refinanced my loans with DRB last year and have been paying very very aggressively during my last year of residency (while maxing out a SEP and wifes 401k) and am down to $128k at 3.5% fixed. I have a friend who paid off his $200k in 15 months. I'd like to pay out 10-13k per month after July and get the loan knocked out in 10 months, but I will likely only have funds to max out my SEP as well. Would I be better off just making a little over the minimum payment (say $4000) and paying it off in the 3.5 years while putting the other funds to retirement accounts/other investments or should I just take the hit on one year of retirement/investing and pay off the loan in a year? I feel like paying it off fast would be a huge burden off our backs but am also disciplined enough to do it slower if that is the better long term plan. Any thoughts and any suggestions for other places to put that extra $ each month or should I just pay into the loan like crazy?
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