Attention Finance Wizards!
It’s taken me three and a half years but I’ve managed to pay off my credit card debt! I did this by lowering my pre tax contributions to my 401k (which the company is matching) and putting as much as I could into paying off this debt.
Now that the credit card debt is gone, II’m at a cross roads. I don’t have a safety cushion for if I lose my job, and ideally I’d like 3 months worth of my salary in savings.
My question is: Do I build the nest egg first (3 months worth will take me 5 or 6 months) -or- do I put as much as I can into the 401k and build the nest egg slowly?