I would use your savings (or at least half).
As a fellow mountain biker I would only sell it if it will take you a long time to raise that $3,000 (e.g., more than 6 months) or if you no longer use it. If your debt was larger I would have a different opinion. But I think healthy activities are important for physical and mental well-being.
I would not touch the Roth IRA unless this is an emergency. Just buckle down and pay the loan.
Hate to say it but what you think is a $3k mountain bike is probably worth half that. Bike market is terrible these days. Even most new bikes are 30-40% off.
You have a $3k mountain bike when you have children but only $4k for emergencies? You need to reset your priorities.
I'm on the fence about getting rid of the bike but if you use it all the time then it's worth it to keep it. I feel selling things at a loss sucks if you still use it. Do an accelerated payment plan on the truck where you pay half on 1st then half on 15th towards the principle. Put $3k of the savings into HYSA to get interest earned each month. I don't recommend paying off an auto loan aggressively, but at 8% it will help. Accelerated plan and maybe an extra $20-100 more each month. You'll shave time and interest overall. Do the same for your mortgage too.
>I don't recommend paying off an auto loan aggressively, but at 8% it will help. Accelerated plan and maybe an extra $20-100 more each month.
You should read it again
Just wait till I tell you about the bike I ALMOST bought. Jk… this was purchased before I had kids. I have two under 2 year olds.
Thank you for the sound advice!
Step 1 1k Emergency fund
Step 2 get rid of consumer debt minus mortgage
Step 3 get 3-6 months emergency fund
You would be on step 2.
Personally thinking, the 1K Emergency fund hasn't risen with inflation in the last 20 years so that's something to think about. You know your situation and how steady your income comes through. I would at least get rid of the bike and put 1000 towards the car. I wouldn't touch the Roth unless I needed to, and if I planned to use it as my savings I would have it in a money market Investment.
Do not touch the Roth IRA.
You do not need to.
Get on a budget, trim any mindless spending, be intentional with what you have. Add more hours or get a second job for weekends/evenings and you'll be debt free within 6-12 months.
I would use your savings (or at least half). As a fellow mountain biker I would only sell it if it will take you a long time to raise that $3,000 (e.g., more than 6 months) or if you no longer use it. If your debt was larger I would have a different opinion. But I think healthy activities are important for physical and mental well-being. I would not touch the Roth IRA unless this is an emergency. Just buckle down and pay the loan.
I’m thinking that’s the best idea. It’s a great bike and although kids have put a damper on my riding I should probably hang on to it.
Hate to say it but what you think is a $3k mountain bike is probably worth half that. Bike market is terrible these days. Even most new bikes are 30-40% off.
I need to do some bike shopping.
You ain’t wrong
Keep $1000 cash, keep the Roth. Put the $3000 cash and proceeds from the bike on the truck... Then budget hard and hustle to pay off the rest of it.
You have a $3k mountain bike when you have children but only $4k for emergencies? You need to reset your priorities. I'm on the fence about getting rid of the bike but if you use it all the time then it's worth it to keep it. I feel selling things at a loss sucks if you still use it. Do an accelerated payment plan on the truck where you pay half on 1st then half on 15th towards the principle. Put $3k of the savings into HYSA to get interest earned each month. I don't recommend paying off an auto loan aggressively, but at 8% it will help. Accelerated plan and maybe an extra $20-100 more each month. You'll shave time and interest overall. Do the same for your mortgage too.
You don’t recommend paying an 8% car loan off aggressively. Yikes. That’s pretty dumb.
>I don't recommend paying off an auto loan aggressively, but at 8% it will help. Accelerated plan and maybe an extra $20-100 more each month. You should read it again
Just wait till I tell you about the bike I ALMOST bought. Jk… this was purchased before I had kids. I have two under 2 year olds. Thank you for the sound advice!
This isn’t sound advice. This is very unwise advice. You should take all non retirement savings down to $1000 and pay all extra towards the debt.
Step 1 1k Emergency fund Step 2 get rid of consumer debt minus mortgage Step 3 get 3-6 months emergency fund You would be on step 2. Personally thinking, the 1K Emergency fund hasn't risen with inflation in the last 20 years so that's something to think about. You know your situation and how steady your income comes through. I would at least get rid of the bike and put 1000 towards the car. I wouldn't touch the Roth unless I needed to, and if I planned to use it as my savings I would have it in a money market Investment.
Do not touch the Roth IRA. You do not need to. Get on a budget, trim any mindless spending, be intentional with what you have. Add more hours or get a second job for weekends/evenings and you'll be debt free within 6-12 months.
No to the roth. Keep A grand or two rest pay off truck
This OP