{"id":613837,"date":"2026-04-29T19:52:11","date_gmt":"2026-04-29T19:52:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/us\/613837\/"},"modified":"2026-04-29T19:52:11","modified_gmt":"2026-04-29T19:52:11","slug":"im-29-and-focused-on-the-future-but-im-worried-these-traditional-goals-wont-be-available-to-me","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/us\/613837\/","title":{"rendered":"I’m 29 and Focused on the Future. But I’m Worried These Traditional Goals Won’t Be Available to Me."},"content":{"rendered":"

Pay Dirt is Slate\u2019s money advice column. Have a question? Send it to Kristin and Ilyce here<\/a>. (It\u2019s anonymous!)<\/p>\n

Dear Pay Dirt,<\/p>\n

I am 29-years-old and live in an expensive area in an already expensive state. Five years into my career, I make OK-but-not-great money ($65,000 a year). I have lived at home with my parent for many years, which has allowed me to accrue significant savings. But I\u2019m increasingly worried they aren\u2019t enough for anything I want to do.<\/p>\n

So far, I have funneled the majority of that money into my retirement accounts. Not only do I absolutely want to be able to retire someday, but I also am aware that I need to be prepared for the possibility that health, ageism, or the economy might prevent me from having a job later in life. So far, I have a little over $200,000 in retirement funds, split between my Roth IRA, 401(k), HSA, and a brokerage account.<\/p>\n

I also want to own a house someday. My efforts to save money for a house took a backseat to saving for retirement, so I only have about $40,000 saved. Even if I scale down my retirement savings to just maxing out my Roth IRA and HSA, and only getting my 401(k)\u2019s 6 percent employer match, it will still take me many, many years to save enough money to own a house in my area or state. It\u2019s important to me that I stay close to my family, so moving out of state is not an option for me. At this point, I\u2019m worried that saving for a house would be a dumb financial mistake. If my married friends with two high incomes can\u2019t afford a house, how could I? Even if I save the amount I need, I\u2019m worried I won\u2019t be able to ever afford the monthly mortgage payments on my salary. Why should I put all that money into a HYSA when I can continue maxing out my retirement and getting the most out of compound interest? Nonetheless\u2026. I want a house of my own. I can\u2019t stand the idea of wasting money on renting a property I will never own, being unable to customize the space how I see fit, or needing to move every so often when the rent increases get too high. Homeownership represents stability above all else.<\/p>\n

I could use some insight into whether I should go all in on either retirement or home ownership, thread the needle between the two, or some third option I\u2019m not aware of.<\/p>\n

\u2014Hopeful Homeowner<\/p>\n

Dear Hopeful,<\/p>\n

Let\u2019s start by dispelling the myth that renting is a waste of money. You get a place to live out of it! Also, there are plenty of \u201cthrowaway\u201d costs associated with homeownership: property tax, maintenance, repair, mortgage interest. Plus, there are the opportunity costs<\/a>. I get the argument that \u201cat the end of the day, you own it,\u201d but at the end of the day, you also spend a lot of money as a homeowner, and in some scenarios, you end up spending even more than you would have if you\u2019d have just rented\u2014even considering the equity. The New York Times has a calculator to help you do the math<\/a>.<\/p>\n

But that doesn\u2019t mean there aren\u2019t other great reasons to be a homeowner\u2014the idea of owning the place you live might be important to you. Or, like you said, the ability to paint your walls whatever color you like without having to ask another adult. And, in some cases, it does make more financial sense than renting (again, that calculator will help you do the math considering every factor).<\/p>\n

However, you\u2019re right that especially in expensive areas, homeownership is extra tough and might not give you the stability you think, especially if you\u2019re struggling to make a mortgage payment, which, on a $65,000 salary might even make it hard to qualify for the mortgage you\u2019d need in the first place. If you want to prioritize saving for a home, you\u2019re likely going to have to make some major sacrifices, and rebalancing your retirement savings might be one of them. Trying to max out your retirement accounts and buy a home on $65,000 a year is a tall order. You can totally start saving for both goals, but if you\u2019re on the fence about it, I would start small, as you\u2019ve been doing, and plan to increase your down payment savings as your income increases or you get more serious about the goal.<\/p>\n

Either way, you should save enough in your 401(k) to get your employer match (it\u2019s like \u201cfree\u201d money, as they say), and I wouldn\u2019t neglect the Roth IRA, either, because you won\u2019t get back those contribution years. But you\u2019re already in a great spot with your retirement.<\/p>\n

Something to keep in mind: Roth IRAs come with flexibility \u2014you can always take out contributions tax-free and penalty-free<\/a>, which might help with a down payment down the road. It\u2019s not like you want to think of this as the primary way to fund your home purchase, but it might be a backup option. That said, if you do go this route, pulling money out of an IRA is not a decision to make lightly<\/a>. You won\u2019t get that contribution back and you\u2019ll miss out on long-term growth. If you decide to do this, you\u2019ll want to consult with a tax professional or CFP at that time.<\/p>\n

Could you relocate somewhere cheaper within your state? That way, you\u2019ll still be close to your parents but out of the limitations of a HCOL city \u2014a townhome or condo might be a more reasonable goal to save for, too. You\u2019re already in a great spot with your retirement savings, but trying to save for a home in a state where homeownership is notoriously expensive will be tough. Clearly, you\u2019re a step ahead when it comes to saving. Realistically, though, what is going to move the needle most\u2014and ensure you can afford the house beyond the down payment\u2014 is a major income boost.<\/p>\n

\n Please keep questions short (<150 words), and don\u2018t submit the same question to multiple columns. We are unable to edit or remove questions after publication. Use pseudonyms to maintain anonymity. Your submission may be used in other Slate advice columns and may be edited for publication.\n <\/p>\n

Dear Pay Dirt,<\/p>\n

I was in a car accident two years ago where I was not at fault (traffic on the freeway came to a sudden stop and, while I stopped, the teenager driving behind me didn\u2019t). I hit my head in the accident and was transported by the hospital by ambulance. I was later diagnosed with a brain injury. I wasn\u2019t fully aware of what was going on immediately after the accident due to my head injury, and my now-ex handled all the communication with insurance and my medical providers.<\/p>\n

Four months ago, I got a hit on my credit report that dropped by score by 50 points. When I looked into it, I found a collections account for over $1,000. After contacting the company twice, I was informed that the ambulance had never been given insurance or paid for and the bill had been sent to collections. I\u2019ve been fighting with them since. I don\u2019t have $1,000 to pay this! This accident was not my fault! I had absolutely no contact from the fire department that sent the ambulance until it went to collections! They\u2019ve implied that insurance may not cover it if the funds for my claim have already been used. A complicating factor is that I no longer have the same car insurance, since it was under my now-ex\u2019s name (with whom I have no contact for safety reasons).<\/p>\n

As of now, they\u2019ve said my account is on hold while they try to get the money from my former car insurance, but my credit report is still suffering from the collections account. I had excellent credit before this. Do I just have to wait for the collections agency to figure things out, or is there another way to have my credit restored? How much should I worry about the credit score drop? If relevant, I don\u2019t have the funds for a legal case.<\/p>\n

\u2014Surprise Bill<\/p>\n

Dear Surprise,<\/p>\n

It would be bad enough to deal with any of these agencies\u2014credit bureaus, medical billing, collections, car insurance\u2014but dealing with them all at once? It sounds like a nightmare, and I\u2019m sorry you\u2019re going through this after already dealing with the medical fallout.<\/p>\n

While you\u2019re stuck in limbo, submit a dispute about this debt with the three major credit bureaus: Equifax<\/a>, TransUnion<\/a>, and Experian<\/a>. Explain that the debt is being actively reviewed by insurance related to a car accident for which you were not at fault. Make sure to include the very important fact that you never even received a bill after the accident\u2014something like, \u201cthe biller made no attempt to contact me before sending to collections,\u201d\u00a0and also include any documentation you have from the collections agency that the account is on hold while they contact the responsible party. If you have documentation showing that you were not at fault for the accident related to the bill, include that, too.<\/p>\n

In an ideal scenario, you\u2019d hear back from the collections agency that the insurance company paid the bill and that you\u2019re in the clear. In that case, your score should recover, but you also want to make sure the history of this account is not included on your report\u2014having a debt that went to collections doesn\u2019t look good. Contact the ambulance provider directly and ask them to recall the account from collections. Something like, \u201cSince insurance has now paid and accepted the claim, I\u2019m requesting that you recall the account from collections and correct the credit reporting.\u201d If they don\u2019t do this, you should open another dispute with the credit bureaus, and\/or you could request a goodwill deletion<\/a> from the collections agency so they consider removing the record from your credit history altogether. The goodwill letter might be a long shot (these kinds of deletions are, apparently, pretty rare, but it\u2019s worth a try.<\/p>\n

But let\u2019s say insurance doesn\u2019t pay up\u2014what are your options then? First, request a debt validation letter<\/a> from the collections agency. They\u2019re legally required to provide this, and it should include \u201can itemization of the current amount of the debt that reflects interest, fees, payments, and credits since a particular date,\u201d according to the Consumer Financial Protection Bureau<\/a>. This might look something like, \u201cI am requesting validation of this debt. I did not receive prior billing, and the claim is currently under insurance review. Please provide documentation showing I am personally responsible.\u201d If they can\u2019t validate the debt, they are required to stop collecting and it should stop being reported to agencies, too.<\/p>\n

<\/p>\n

I Made the Best Choice for My Kids in an Impossible Situation. I Can\u2019t Believe How My \u201cVillage\u201d Is Reacting.
\n <\/a><\/p>\n

<\/p>\n

My Friend Butt-Dialed Me and Left a Voicemail. Now I Know Something I Shouldn\u2019t.
\n <\/a><\/p>\n

Once you receive this letter from them, you have 30 days to dispute the debt in writing (here\u2019s a step-by-step guide<\/a> on how to do this, courtesy of the CFPB). You can continue to dispute the account with the credit bureaus, letting them know the debt itself is currently being disputed. You can also file a complaint with your state regulators\u2014depending on where you live, you should be able to find information on your state\u2019s website. Whatever you do, document everything so you have proof when you\u2019re disputing the account with the credit bureaus.<\/p>\n

A last resort is negotiating with the collection agency to pay off the account. It\u2019s not ideal, but you can usually negotiate a much smaller amount if you do want to go that route, and here\u2019s another guide<\/a>. It might also be possible to get financial assistance<\/a>.<\/p>\n

If you had excellent credit before this, a credit score drop isn\u2019t going to ruin your life, but 50 points is a lot. It might make it harder to get a credit card, or a decent interest rate on a loan, or even rent an apartment<\/a>. Plus, it\u2019s just a big hit that shouldn\u2019t be there in the first place. The good news is, there are resources and options. If you still feel stuck, the CFPB<\/a> is a good place to get started.<\/p>\n

\u2014Kristin<\/p>\n

More Money Advice From Slate<\/p>\n

We are a gay couple updating our wills. Over the years, we\u2019ve had some nieces and nephews on both sides of the family who we have helped out financially; always sent gifts to for Christmas, birthdays, and life events; and (most importantly) enjoyed their company when they came to visit us or vice versa. There are 13 nieces and nephews altogether, all of them in their late teens or 20s. The issue is that seven of them have always acknowledged us, thanked us for our gifts, invited us to events, etc.,\u00a0while with the other six it\u2019s radio silence.<\/a><\/p>\n

Get the latest from Prudie and our columnists in your inbox each weekday, plus special bonus letters on Saturdays.\n <\/p>\n","protected":false},"excerpt":{"rendered":"Pay Dirt is Slate\u2019s money advice column. Have a question? Send it to Kristin and Ilyce here. (It\u2019s…\n","protected":false},"author":2,"featured_media":613838,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[39],"tags":[3005,28,147,530,1170],"class_list":{"0":"post-613837","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-personal-finance","8":"tag-advice","9":"tag-business","10":"tag-personal-finance","11":"tag-personalfinance","12":"tag-real-estate"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/613837","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/comments?post=613837"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/posts\/613837\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media\/613838"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/media?parent=613837"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/categories?post=613837"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/us\/wp-json\/wp\/v2\/tags?post=613837"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}