On the medical side of things, good luck

bad credit on or offOn the financial side of things, I’m not sure I see what the issue is. Are you not going to pay the MIL her payment this month? What does Z say about this situation? I have bad credit but I need a payday loan online, what do you think about this service? If you are going to pay, what’s she concerned about? If not, why not? The first thing I would do is visit the budget and make cuts to cover the the income loss during the week off. Do you have a holiday fund? You’ll have to tap that as needed (maybe MIL’s gift?). Finally, take the shorfall from not working for a week from the BEF and apply it to the repayment if it’s that big a deal to MIL.

I agree with you

time is a big factor in investments. That’s one part of DR I can’t wrap my mind around. I am debt free and it feels wonderful but am very happy I did not wait till the point in my life when everything was paid off to start to invest. I was working full time and buying stock at 17, made other dumb mistakes like selling my stock to pay for my first husband’s gambling debts….wow, what I would have now if all that had been there during splits and all the years of growth. Never got into serious debt with any credit cards, always invested, always gave. That was just how I chose to live, would not want to wait till the last step to do either. Never had a chance at an employee match but always put in to deferred comp from almost the first chance I was eligible, never had to borrow from it and never regretted it.

I feel like I have one of he other few situations where it’s ok to contribute

We have a 403b situation, where, if we put in 5%, my employer puts in 10%…so not only is it missing out on the free money from a 1:1 match, it’s missing out on that extra 5%. The benefits of it, including the tax advantage now, outweigh the interest we may pay on other things. Others may disagree, but it’s the one thing we are doing that I’m not sure whether it follows Dave exactly, but we’ve decided not to ignore that 10% of my salary every year….

I’m an idiot

because I didn’t sign up several years ago – however, better late than never. So, if I go with 3%, it’s approximately $40 less out of my pay, should I try to go with a higher %? I’m a little concerned about my take home pay since it’s just me and the critters and the mortgage etc.

So they took money from you

when they were supposed to take from someone else?!? I’m basing this on the fact that the account they were dealing with had a different SSN than yours… I think they screwed up, PERIOD. If that’s the case, the only way you could get the money back will likely be a lawsuit of your own. If it goes that far, get them for 10x what they took from YOU…

The amusement begins:

After much pushing of the ‘0’ button I reached a human being. She says she doesn’t know how much they took, but no, they cannot take any more. My paycheck will be fine on Friday. I asked about making some sort of arrangement so I could get my husband’s medications and so forth. She transferred me to a manager.

He rolled off my name and someone else’s last 4 digits of SSN and didn’t pause long enough for me to say “That’s not right.” Then he said “Oh, there is a cease and desist code on your account, so I can’t talk to you.” I faxed in the “permission to talk to me” letter he asked for. (Bad idea? good idea? neutral?) and noted that despite this “code” they have called my 15 times on my cellular phone at work after the date that he acknowledged this communication.

Mr. Manager person is supposed to call me back at noon. Let’s see what story he cooks up now.

Sorry to hear of your trials…

Suddenly and without warning has to be awful. However my first question would be subsequent garnishments to this account. Is the money they received enough to pay it off, or do you still owe more toward that end? I’m thinking in terms of repopulating this account… For instance could your husband’s pay check hit that account and it be gone again?

Now to your direct question about paying the mortgage. I believe the early penalty withdrawal is more like 35 or 40% depending upon your tax bracket. You’ll notice a nasty phrase “an additional” in the write up. I believe the companies withhold the tax bracket amount before disbursing it to you, so the money you get back might not be what you were expecting in its entirety.

You’re at the point now where desperate measures are called for though… I can see that. One wants to pay the mortgage but you have to take into account living until the end of the month, and get your other issues cleared up to keep you out of this vicious cycle. I think I would rather you borrow the money from someone than touch the 401K as its going to be an awful penalty versus paying someone back with interest.

Last but not least, you gotta do what you have to do, just make sure you’ve thought it ALL the way through. What will happen to your bank accounts and the ramifications for future deposits to that institution (it might not be enough to close one account and open another); the true withholding which will occur to your 401K…

Thanks everyone for the reply

I will talk to my husband and probably contribute up to the match. And no, we would never consider this for our kids college, I just want to be able to save for it as my oldest is only 7.5years away from college.

I would like people’s opinion on what Mark would recommend

I leant my TMM to my brother, so I don’t have my book and I don’t remember reading this section. My husband and I are trying to decide whether to join his company’s 401K that he is now eligible for. He is almost 41, I am 38. We are on BS2 and have 2 kids 11 and 7. I have a 401k with approx $4,000 in it which I contribute 3% since it is matched by my company. We have no savings for our kids college education. It looks like from the company information, that 3% is matched by the company. For my husband’s years of service, 50 cents on the dollar will be matched. Any suggestions would be greatly appreciated! Thanks.