Wednesday, January 27, 2010

I won't focus on maxing out my Roth IRA until 2011

I opened up a Roth IRA last year and contribute to it on a monthly basis through an automatic transfer, but I'm going to shelve the goal of maxing it out for a while. Yes, I know that the power of compounding and time is important in saving for retirement, but I'm going to just be happy with the fact that I have an IRA account that I contribute to regularly at the age of 25 instead of beating myself up that over the fact that I haven't yet maxed it out. I would like to make some headway on some existing goals like increasing my emergency fund and paying down debt before I take on another goal. I feel like my plate is full enough. I think increasing my income (still thinking about how to make this happen), paying down my student loans and finally paying off my credit card completely will give me room in my budget to play with, so I plan to max out my Roth in 2011.

2 comments:

YBP said...

good for you! Prioritizing is the key to life.

A Day in the Life of Mocha said...

this sounds like a plan and your still young and have time to do plan this...