Borrow From My 401(k) To Pay Off Debt?

Borrow From My 401(k) To Pay Off Debt?

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[deanalbertson]

Keep the 401k matching. Pay off the car. Pretty simple.

[djpuplex]

Get the match and get a second or third job to supplement. Don't give up free money.

[nuclearcrypto]

He sounds like it will take him years to pay that car off.

[robertmoore]

Nice video very engaging from beninging to end .Investment and business is the best way to make profits.

[darthenx]

With that salary he can easily pay the car in 18 months and maintain the company match so long as he watches his spending

[plantsthewin]

Why doesnt he know how much his wife makes? Weird.

[RJRussoVids]

Has no idea how much money his wife makes. SMH 😔

[jeanc]

Never borrow from your future to pay for your mistakes of the past.

[lkjg]

The ONLY reason to forego the company match is if you are so deep in debt you cannot put food on the table. Terrible advice by Dave here. They have a household income of $180k and he's worried about a $32k car loan? SMH

[JA-zhxi]

Don’t do it. I made that mistake about 10 years ago. I paid off 40k, but it cost me well north of 100k in 401k profits looking at it now. Big mistake.

[polyglotsjourney]

it all seams so easy when Dave explains 😁 Who agrees? 😂

[modlsuper]

Thank you Dave
I need this answer really

[bhupesh]

If someone doesn't even know what their spouse is making..that person will forever keep buying unnecessary expensive stuff and will always remain in debt.

[MillionaireMindsetClub]

This was me 5yrs ago. I was always ahead of the curve on investing, but new cars used to be my weakness.

[ebuckets]

Depends what the interest rate of his car loan is. I would still contribute to 401k enough to get the company match if the interest rate is really low. I wouldn't advocate this position to begin with but once you are in it doesn't really make sense to give up free money and the tax deductions just so you can say you are debt free.

[brownelcamino]

Dude…you don’t know how much your wife makes???

[someperson]

When Dave tells people to stop putting their money into their 401(k), he is thinking that this is a temporary situation. He is trying to motivate people to get out of debt as soon as possible. I don't think Dave is imagining that people take several years to pay off their debt.

[cliftongreen]

Man if it was me I would borrow the money from my 401k and pay off my house and car then he will be debt free and I would still contribute to get the match from the employer and he will still have money left in his paycheck to save and he will be completely debt free 🤷🤔🤔🤔

[miketheyunggod]

My employer asked me if I wanted to get involved in their 401K. I told them I don’t think I can run that far. 🤓.

[jamesjhonson]

Don't borrow from a retirement account for anything. You destroy your existing army of dollar bills which are already in the account, doing the heavy lifting, providing you with compound interest. You are taking away the ability for the account to grow to pay off a depreciating asset. Sell the car, your retirement is much more important.