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It sounds like you are a good saver (don't mention any credit card or car debt). Student loans are a wealth building loan, but as RecoveringFool points out the benefit has been had. 7.25% risk free immediate return is a tough deal to pass up.

Since you sound like a good saver maybe you could aggressively pay the loan, put away retirement funds, and slowly move money into stocks. The best savers treat savings as a necessary expense like the phone bill and entertainment expenses. Stock investing can be a fun hobby as this site shows ;-) If you diverted money that would be spent at the bar or Blockbuster on Saturday night then you would be shuffling between entertainment expenses.

See what I'm getting at? I would only recommend this for people who know they are good savers. You might also want to save money for a home.

As to the last part of your question, I believe the current conventional wisdom pecking order on retirement savings for those just starting is (assuming you can't deduct IRA contributions):

Company match 401K
Pre-tax, non match, 401K
Roth IRA
post tax 401K, non-deductible regular IRA


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