3 Types of Debt to Pay Off Before Retirement
It's no secret that being in debt during your working years can prevent you from saving for retirement. But carrying that debt with you into retirement is just as dangerous, if not more so. Once you move over to a fixed income, you can't afford to have a chunk of it eaten up by debt payments, whether it's the good kind or the bad. That's why one of your priorities should be to pay off your debt before you leave the workforce, even if that means a little extra hustling at the tail end of your career. Here are a few specific types of debt that can hurt you as a retiree.
Many folks who own property take out 30-year mortgages in their 30s and manage to pay off their homes by the time retirement rolls around. But for those who start out later in life, entering retirement mortgage-free isn't so simple. An estimated 30% of homeowners 65 and over continue to carry mortgage debt, and if you're one of them, that'll only make what's already your greatest monthly expense even more burdensome.
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Source: Fool.com
