What should my next step be?
I apologize in advance for the length of the post. I consider myself to be in a good standing, but I'm always looking for ways to improve.
I graduated college in June 2014 with 32k in student loans. After graduation, I immediately started working. I am currently living with my parents. I currently only have 8.5k left on my student loans (at 3.4%)
I have 30k in my 401k through work and 20k in my personal Roth IRA. I'm doing above my company match: putting in 22% to max out my $18,000 limit for the year. I am also contributing $5500 to my Roth IRA each year.
I have two credit cards: - Discover: 5% cash back rotational, else 1% cash back. I have a $4300 credit limit. - CapitalOne Quicksilver: 1.5% cash back. I have a $10000 credit limit.
Neither credit card has an annual fee. I do not have any credit card debit.
After understanding more about me, this is my current plan: 1) pay off my student loans ASAP. 2) keep putting money in my 401k/Roth IRA until I have ~100k between my bank account and Roth IRA so that I can buy a house.
When a buy a house, I would withdraw as much money as possible from my Roth IRA and use it as a down payment on the house. At that point, I would continue to add money to my Roth IRA until I have 6 months worth of my salary. I would then stop contributing to my Roth IRA and only contribute to my 401k (my Roth IRA would be my emergency money - everyone should have an emergency fund that's roughly 6 months worth of expenses).
My overall questions are:
1) Should I abandon my Roth IRA once I buy a house and saved 6 months worth of expenses and put money I would have put in my Roth into my 401k instead? If I have $10k that I can apply each year to savings, should it all go to 401k or split between? What are the benefits to each?
2) Should I get additional credit cards? Is getting additional cards just for the reward bonuses worth it? Would the more inquires reduce my credit score that much?
3) Does anyone have any recommendations on anything? Something I should take a look at that might be beneficial? For example, if you haven't heard of a program called Quicken, take a look. Its makes it easy to consolidate you bank accounts and finances so you just have to use one program to see all of your accounts.
Thanks for taking the time to read the post!