AI Snips
Chapters
Transcript
Episode notes
Acceptable Debt Levels
- Finance reliable cars with 20% down, a 3-year term, and debt service under 8% of gross income.
- Limit total debt to 35% of gross income and pay off credit cards in full.
Investment Property Debt
- Consider investment properties after achieving financial stability (step 7).
- Ensure positive cash flow and sufficient reserves to withstand market downturns.
457 Rollovers and Roth IRAs
- Before rolling over a 457, consider maximizing current Roth IRA contributions.
- Explore spousal Roth IRAs and HSAs to exhaust tax-free growth opportunities first.