Should I Pay Off Debt or Invest My Money?

Which comes first, paying off debt or investing?

Here’s a not so easy question. Should I pay off debt or invest my money? In most cases, it’s not either/or. Find out why on this Queer Money. Start your journey to financial independence by getting rid of any credit card debt with the free, 7-Step Credit Card Debt Slasher.

Pay off debt or invest first?

There’s a lot of success porn online around investing in the stock market and getting big returns. Some are even selling their investment strategies as a way to pay off debt. But there is a risk of loss associated with any kind of investment. And there are many factors to consider as you decide whether to focus on paying down debt or investing.

On this episode of Queer Money, we offer insight on deciding whether to pay off debt or invest your money, explaining why successful investing is about time in the market rather than timing the market. We describe how compound interest influences both investments and debt, challenging you to consider the Debt Lasso Method to pay off credit cards more quickly.

Listen in to understand how carrying debt may impact your mental health and learn how Fidelity’s 6% Rule can help you decide whether to focus on paying down debt or investing.

Listen in on our debate of paying off debt versus investing:

Topics Covered

Developing a strategy around both paying down debt and investing
How to decide whether to focus on paying off debt or investing
The danger in chasing returns in the stock market
Why successful investing is about time in the market vs. timing the market
How compound interest influences both investments and debt
What tax credits and deductions to consider when deciding whether to pay off debt or invest
How carrying debt may impact your mental health
Using the Debt Lasso Method to pay off credit card debt more quickly
When to use Fidelity’s 6% Rule to decide whether to invest or pay off debt
The risk of loss associated with any kind of investing

Previous 3 Podcast Episodes

Resources

Connect with David and John

We’re David and John Auten-Schneider, the Debt Free Guys (www.debtfreeguys.com) and hosts of the Queer Money® podcast. We help queer people (and allies) live fabulously not fabulously broke by helping them 1) pay off credit card debt, 2) become part- or full-time entrepreneurs and 3) save and invest for retirement.