No. of Recommendations: 0
Great going, Paul. You and your wife seem off to a good start at living well below your means. In Fooldom that in itself is a great accomplishment. It gives you a great deal of flexibility to handle whatever situations come up in the future.

You don't mention your children. I hope you have planned for their education, and have funds started for that.

It is difficult to agree with the concept that you can have too much in your retirement fund. If you have investigated the Foolish Fire philosophy, you know that adequate retirement funding give you the option to retire early, to pursue other careers such as hobbies with income potential, or to do whatever you like.

Of the things you mention, I would start paying down the mortgage. If you can pay it off in half the time you save considerable interest charges. Plus that frees up additional cash flow to invest and save.

Personally as soon as the mortgage is paid off, I would increase saving to one-third of gross income or more if you can. Invest it as best you can: Roth IRA, 401k to the max, and then LTBH in a taxable account.

That should put you in position to make your own choices--perhaps even retiring in say 25 years. Remember the 3325 program: if you save/invest 33% of gross pay, you should be able to retire in 25 years (given reasonable investment performance).

Good luck. Fool on!!
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