Angie sold all the stocks in her retirement account last year. And now the market’s climbing. What should she do with her $500,000 cash position?
Christina will be graduating with six figures of student debt. Should she refinance out of a federally protected loan to lower her interest rate?
An anonymous caller wonders how Paula and Joe handled their primary residences when they moved out of state.
Former financial planner Joe Saul-Sehy and I tackle these four questions in today’s episode.
Enjoy!
P.S. Got a question? Leave it here.
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Here are the details:
Angie asks (at 01:16 minutes): Last year, I liquidated all my stocks in my retirement account. I now have $500,000 sitting in cash and as of today, July 13th, the market is really, really high.
I’m 42 years old, so I have at least 20 years before I need the money. Should I just reinvest all of that cash into an S&P 500 Index?
Christina asks (at 25:39 minutes): Should I refinance out of a federal student loan to lower the interest rate?
I’m a physician assistant student preparing to graduate this December with $275,000 in student debt. Two-thirds of the loans have high interest rates from 7.5 percent to 8.05 percent.
I’ve been advised to stick with federal loans in order to maintain benefits such as payment pauses and forgiveness.
However, I’ve never felt that loan forgiveness was right for me because I’d have to pay a high tax rate on it. I’ll be entering a very stable job market in 2024 and I’m hoping to make at least $100,000 annually.
My goal is to be debt-free while minimizing the total amount I pay toward my student loans. Refinancing seems to make sense, but I’m not sure if this is the best long-term way to view my debt.
What’s a repayment plan that’ll set me up for a strong financial future?
Anonymous asks (at 40:40 minutes): Paula and Joe: when you both relocated to a different city, what was your thought process behind what to do with your primary residences?
How did you decide between keeping, selling, or becoming a landlord?
Would you do anything different in hindsight?
I’m a lawyer in my mid-thirties. I live with my husband and two young kids outside of Boston. I’ve always had an eye toward real estate and we’d like to diversify our personal wealth someday.
My husband works in higher education and may have the ability to live on a college campus for free later in his career. At that point, we could sell our home and pocket the equity or rent it out as an income property.
That decision is not before us today, but I want to start thinking about it. What’re your recommendations for us?
Islombek asks (at 1:04:18 minutes): This is Islambek from Uzbekistan. It’s my first time listening to your podcast.
The episode was 448 and at the very end of the third question, there was a woman talking about trying to visit Uzbekistan in the future.
It’s absolutely beautiful how life made us come to this point when this is my first episode and they are talking about my home country.
Just wanted to say this is very interesting. Keep up the good work and thank you so much.
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