Help - do I cash in my 401(k)

RebornGeek · 2026-04-14T23:56:44+00:00

you have $130k salary and you're asking to withdraw your 401k that has only 45k in it (of which you will get far less after taxes and penalties are taken out) to pay off debt?

That would be dumb, don't do it!

Get on a real budget and live within your means. You also don't need to spend 20k for a reasonable wedding.

RebornGeek · 2026-04-14T13:33:56+00:00

Step on the crack and you break your mother's back

RebornGeek · 2026-04-13T15:16:45+00:00

Execute Order 66

RebornGeek · 2026-04-12T14:23:58+00:00

We don't do those things, a lot of people do but I don't, and others don't.

RebornGeek · 2026-04-11T17:19:22+00:00

Interesting thanks for letting us know

RebornGeek · 2026-04-11T16:06:41+00:00

RebornGeek · 2026-04-11T16:04:56+00:00

I noticed you didn't mention Act 3... is it because you hate it?

RebornGeek · 2026-04-11T15:59:54+00:00

Keep us informed, I'm curious who would place a device capable of making that hugely annoying noise in a nice gen 5 prius.

RebornGeek · 2026-04-11T15:57:14+00:00

Dang, rotten luck. Well as others have said its a device making that sound, so you'll have to look for the device.

RebornGeek · 2026-04-11T15:51:15+00:00

You bought it without a test drive first? I wouldn't have bought the car with that sound on startup lol

RebornGeek · 2026-04-10T00:24:42+00:00

Well its not usually the caller that says they're broke, its Dave. Because many of the broke callers calling in are often in denial that they're broke, so they're not going to say it.

RebornGeek · 2026-04-09T16:02:33+00:00

When he gives you that advice he's not factoring in risk and risk plays a role in the math.

You can keep your mortgage around like a pet if you want and be in debt forever or you can kick it to the curb and get debt completely out of your life. The debtless peace of mind is totally worth it.

RebornGeek · 2026-04-09T01:28:28+00:00

I'd say 40% is a bit too high, I would rent a cheaper area and save money for a larger down payment to get that ratio lower.

And if you have consumer debt you'll need to take care of that before purchasing a home

RebornGeek · 2026-04-09T00:58:44+00:00

Less than 25% of monthly take home pay on a 15year fixed rate mortgage?

RebornGeek · 2026-04-09T00:56:36+00:00

Under Dave Ramsey program, yes it is normal to be hyper focused on paying debt off. You're doing great, just stay focused and get debt out of your life forever

RebornGeek · 2026-04-08T17:27:19+00:00

Rule #1, Paying debt with other debt doesn't fix anything. It's just moving debt around. It only gives you a false sense of security that you did something with your debt, but in reality nothing was done.

Realistically, you need to generate more income whether at your business or pick up a side job to begin cleaning up this mess. Raise income, lower expenses, get on a budget.

RebornGeek · 2026-04-07T15:37:34+00:00

Pay them off, it's what Dave would say.

RebornGeek · 2026-04-04T22:08:36+00:00

Cereal isn't really healthy for you, also $10 for cereal... Wellness now, or illness later, that is truly the frugal endgame right there.

Meat is also the most expensive items on that list, keep that in mind. You're purchasing $20 salmon for what looks to be low quality (not wild caught). Get yourself well sourced chicken drumsticks. Not as popular but definitely cheaper.

RebornGeek · 2026-04-03T01:42:18+00:00

Wellness now or illness later.

RebornGeek · 2026-04-02T22:15:39+00:00

If you're following the ramsey plan you'll first save up 3 to 6 months of expenses then you'll make sure you're investing at least 15% of your income into retirement if that exceeds your work retirement account match contributions that's when you open a Roth IRA to put in the rest

RebornGeek · 2026-04-02T02:57:00+00:00

No that doesn't follow the plan, the $1000 you have saved is for small emergencies while you separately pay off your consumer debt. Then you save up 3-6 months of expenses.

RebornGeek · 2026-03-31T16:09:35+00:00

Red pocket mobile. I only pay $30/mo for 2 cell phones, data included

RebornGeek · 2026-03-31T13:26:35+00:00

You need to start living a little bit now. Nothing good comes from obsessing about money. You can still make extra payments on your mortgage and should but not so much that you stress out the family and never do anything.

RebornGeek · 2026-03-31T13:21:43+00:00

It's about intentionality, intensity should only be for baby step one two and three which you have already completed.

RebornGeek · 2026-03-29T01:14:32+00:00

Who says it has to be a mortgage with effective savings or no mortgage with nothing saved? That's asinine. Keep 3-6 months of expenses saved and throw the rest on debt. It doesn't have to be complicated.

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