This year I’ve maxed out my Roth IRA (with employer matching): https://hellomoney.co/portfolio/6bad58-roth-and-401k
Aside from that, I’ve got $17k in a checking account that up until now I haven’t touched. I’ve thought I could put that into a 401K, or use it to pay for part of my master’s degree, which I plan on starting this fall.
If I put it into a 401K, it’d be in low cost index funds with a 0.24% expense ratio. I’d also need to take out loans, which look they they’d be at a rate of 5.84%. My feeling is that the portfolio’s growth would outpace the loan interest. If I look at 3 year historical returns, it’s 8.34%, certainly better than 5.84%.
Regardless, $17k isn’t enough to get me through the first year, so I’d need to take out some money anyway, and would need a few years to pay it off. I had planned on getting a TA position that pays for part of my tuition, but this isn’t looking likely. What should I do?