As we ring in the new year, it’s a great time to organize your finances and set some financial resolutions and goals for 2022. On today’s episode, we’ll be discussing retirement contributions, paying off debt, student loans, and more.
The Combination and Key Points:
On this episode of Unlocking Your Financial Future, we are starting a two-part series on financial resolutions for 2022. We’ll be discussing why it’s important to plan for the new year and some steps you can take to have a more prosperous 2022. With the beginning of the year comes a lot of new goals and aspirations. A lot of people start to plan or reorganize their finances around this time.
Should you increase retirement contributions? It’s one of the most commonly asked questions we get. Once you turn 50, you will really want to start thinking about this. You’ll be able to put more in and catch up on your retirement savings for around 15 years.
Paying off Debt
Paying down your debt is a big resolution. You want to try to pay it off as much as possible before you retire. Make sure to focus on consumer debt and then tackle the rest. Going into retirement debt-free can really leverage your dollar better against inflation. But not all debt is bad. You have to look at it from a holistic point and ask yourself if it’s really hurting you through high-interest rates.
Looking at Student Loans
What should we expect in 2022 with student loans? Right now, there are some extended strategies that you can look at. Always review your debt repayment plan. Interest rates are at historic lows. Depending on our situation there may be options for you to do a private refinance. There are also student loan forgiveness programs to look into. As always, speak with your advisor on the best approach to paying off debt.
If you have any questions, please reach out to us at https://www.baschrock-fg.com/ or give us a call at 330-473-1060
To hear more you can listen to the full episode or use the timestamps below to find a specific segment.
1:08 – Why is it important to plan at the beginning of the year?
1:48 – Most common questions about new year planning
2:56 – Being over 50 and catch-up contributions
3:52 – Paying down debt before you retire
4:41 – Paying down debt vs. leveraging your savings
6:09 – Should you pull money out of your investments to pay off debt?
8:05 – What should we expect in 2022 with student loans?
9:38 – Should you have credit before you graduate?
10:13 – Things to be looking at in 2022
11:05 – What resources are there for student loan forgiveness?
Don’t wait and control what you can control. Get on the path to pay down your debt sooner rather than later…
Thanks for listening to another episode of Unlocking Your Financial Future. We’ll talk to you again next week!