I've read several threads here on WSO about what one should do with their bonus. Some people say blow it all as a first year, you'll be swimming in it a few years down the road. Others have the more conservative approach of growing the 401k, one which I happen to agree with.
However, if someone, like myself, is about to graduate from college with a decent amount of student loan debt, does it make more sense to pay off the debt first and then start contributing to retirement?
I'm somewhat torn since annual retirement account returns have the potential to be larger than Prime lending rates, though they are of course quite variable and can be negative as well.
But then again, I've always been under the impression that one should eliminate personal debt as soon as possible, while still maintaining a reasonable standard of living, the definition of which can of course vary significantly based on whom you ask (such as some sociology major versus one of the uber-ballers here on WSO).
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