Apologies for the long-ish post. I am seeking advice from those outside of the situation as being in it sometimes leaves you cloudy. Please know everything I know about finance I learned in the last two years, so I’m always happy to learn more.
I (31f) had to start completely over two years ago. A DV situation escalated just before I was able to make my exit, and it left me with a fractured skull, fractured upper jaw, two missing teeth, four broken teeth, and nothing left to my name besides my cat, my car, and the items I was able to throw into my vehicle. My ex found my “escape” fund and quickly liquidated it, and also ran up most of my credit cards in an attempt to keep me there. The only money I had was my 401(k) and the money on my checking account left over from my paycheck.
Two years later, I have fought - and fought hard, and I am blessed to say I am at the most secure point I have ever been. I currently hold three jobs, 1ft and 2pt, and will hold them until the end of this year when one of the pt contracts expires.
In these two years I have paid off about $65k in debt, bought my house (3.5%, $1268 monthly with me throwing another $100 on principal), and have gotten about half of the reconstructive/needed procedures done. I have an okay savings….thats where my question comes in.
When should I pivot to just finish my debt journey? Other than the mortgage, I only have student loans (paid down from $44k) and a DPA (down payment assistance) loan. They’re peewees compared to what I was dealing with and I want to be done with them, but the idea of not squirreling every spare penny immediately fills me with anxiety. I understand I can probably be debt free other than the mortgage at the end of the year if stopped squirreling and attacked the rest of the debt, but not squirreling is terrifying.
So, from your outside view and with a grain of salt, should I leave my savings be for now and just focus on this debt, or is it wise to continue to focus on bulking my HYSA considering I still have surgeries I need to have done? Added, the HYSA has a higher interest than my debts.
Thank you for any advice you may have.
(As a side note: I’m seeing more and more that I’ve done well for myself, and I am very proud…but I also realize I probably should seek therapy. I haven’t gotten that courage yet, but hopefully I will find it soon).
Total monthly expenses (all, not including paycheck deductions): $2048
Debt: DPA Loan (2%): $5.6k Student loans (fed, 3.73%): $12.8k
Assets: 401(k): $71k Company stock (with % match): $5.5k HYSA: $12.1k State retirement (pt job, just started w/ 3% match): $2.6k Ira (just started last year): $4.1k Individual stock (started 4mnths ago): $890
original posted by FoxAmongDragons to r/personalfinance on Sat, 09 Mar 2024 23:08:31 GMT.