New Job, New Retirement Plan

I recently began a new job at substantially higher pay than I had been earning up until now, which is providential considering the state of the economy as a whole. So along with the new job comes a new retirement plan and an excellent chance to reevaluate my long-term financial plan. I am now fortunate enough to be able to have 20% of my income deducted for my new 401(k) plan, along with a 4% match from my employer. This number may change somewhat as I continue to discover the reality of taxes in a higher tax bracket.

I am also fortunate enough to be able to pay off my credit cards very quickly with this new income level. I have already paid off four store credit cards that totaled somewhere around $3,000 in balances. Now that all of my store cards are paid off, next month I begin the task of paying off my bank cards, of which I have three, with total balances of approximately $4,000. And once the credit cards are paid off, then it is time to tackle my car loan and my student loans.

Since I have a new 401(k) plan I now have to undertake the task of rolling over my university 403(b) and previous 401(k) balances into the new retirement account, but it will be very good to consolidate my accounts and to be able to see my retirement plan progress in one fell swoop.