CALL YOUR AGENT and let them sit it out. You can be 100% sure that the other insurance company does not have your best interests in mind.

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Awesome, thanks for all the insight.

I doubt anything will actually be canceled, I don't expect it to be. So I guess when the time comes where no more pauses or cancellations are in sight, then I will just pay it off in one time with what I set aside to avoid the interest.

Last question, I know this is discussed a lot and I've been reading here and online, but in the short term, my first course of action will be to open a HYSA. Any advice there? I've gathered that Ally, Capital One, Discover seem to be the most popular even if there are others with higher rates, but these seem to be the ones people stick to since the rates are "safer" and won't decrease as much as others may. Is this the route I should go?

After reading a bit more, perhaps I should consider Ally's No Penalty CD... and maybe do ~65k of my ~74k?

You’re making this so much more confusing than necessary. The 401K and HSA are the only two accounts that matter because they’re pulled from your paychecks each month. Your IRA can be contributed whenever you have the money. Hell, you have until April of next year to fill up the prior year’s IRA.

MYGA is like a CD, but with tax deferral until you withdraw, blueprintincome.com

do you like your loans?

Howabout you split the difference: pay double the minimum on your loans.

We always paid extra towards principal for our car loans and the mortgage.

I think this would mean that you basically accept responsibility on the claim on your insurance. Which means your rates will go up, it would not be worth it. Don't do it.

Thanks!

Why pay off the car when they can make more interest in a HYSA (net of taxes) than they pay on the car loan?

Whole life needs to be medically underwritten as well. If you can’t qualify for term, you can’t qualify for whole life.

Any injuries to you? Any damages to your car?

If you made over $400 on "side jobs" then you need to file taxes, including schedule C, for self employment, and pay SE taxes.

Yeah absolutely. If it's whole life policy I would drop it, they make a much higher commission off whole life then term. Do you think you will have a family though one day or at minimum a partner? It wouldn't be a bad idea to lock in a term policy now if you think that may be something you are interested in because the monthly rate would be a lot better now then later as you get older, gain weight, etc...

It’s Ubers. I’ve found jobs and they fall through or the managers aren’t honest with me. Public transportation scares me tbh. I’m willing to wait to buy an iPad so that would reduce the loan to $750. That’s not a terrible amount of debt I feel. But I definitely do see your viewpoint.

This. Report the accident to your insurance company and tell them what the at-fault insurance company is trying to do.

Understood and we don't have state tax. However, I'm trying to think about better vehicles for federal tax if there are any

Consider putting off the dental program for 6 months to year until you have all your debt paid off. Keep the FedEx job get the Lowe’s job and maybe another. Get everything paid off and money in the bank. Then start the program. With all debt cleared and money in the bank I think you could focus better And maybe get through the program faster

Learn to budget!

Be sure to thank your mom!!! And do more than your fair share of chores!!

Good luck!!!

Individual tbills held to maturity, no state tax

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Did not mention in the original post, but 1 child (not married). He lives with her mother.

Honestly taxes aren't that hard. If you say you're a simple employee, then you can figure it out yourself in maybe 20 minutes and talk to your HR department to make sure enough is being taken out.

They publish the tax brackets. They publish the standard deduction. You know approximately how much you'll earn in a year.

-- If you estimate earning $50k.
-- Google standard deduction and you find out it's $13,850.
-- Take $50k minus $13,850 is $36,150. You will pay tax on that amount of money.
-- Google tax brackets. You see that up to $10,275 you pay 10%.
-- So 10% of $10,275 is $1,027.50 in tax so far.
-- $36,150 minus $10,275 is $25,875.
-- Look at the next tax bracket $10,276 to $41,775 pays 12% tax.
-- 12% of $25,875 is $3,105
-- Add $1,027.50 and $3,105 and you get $4,132.50

Taxes done. Now you divide $4,132.5 by however many paychecks you get, most people it's 26. Make sure $159 per paycheck is going to federal taxes and you're fine. If less is, figure out how much extra needs held and talk to your HR about it. Figure state taxes out the same, or move to a state without an income tax.

If you have 401k, health care, or any other before tax deduction, you just minus the amount you pay towards that from your total pay and then calculate your taxes. It gets more complex if you have a couple kids and stuff, but really not rocket science. Most people that just go to a standard job every day don't need a tax "professional."

It makes no sense to pay down a car loan at 2.5% when you can make 4% (likely 3% after taxes) risk free in a HYSA or up to 5% risk free with slightly more hassle through CDs, money market accounts, or bonds.

It makes even less sense to pay down that car loan when they have student debt that is not dischargeable in bankruptcy and will soon be at 4.5% interest.

It makes even less sense again if they will soon be buying a house that will likely come with a mortgage interest rate of ~6%, plus potential PMI if their down payment is not large enough.

They're better off saving money in a HYSA now and using it toward their house downpayment when that comes. If interest rates decrease (so the HYSA is earning less and the mortgage rate is lower), they can always put the saved cash toward the car (or potentially preferably the student loans depending on what happens with payment pause/forgiveness) and come out ahead of where they'd be if they put the money toward the loans now.

Contact your insurance. That's why you have it.

not sure where you live but there are options besides uber that are much cheaper. you're definitely in a tough place, but my thoughts are whatever got you into this mess will likely get you into a bigger mess with the loan.

I've considered doing that but I think I'm also saving up for a new house and have a few other big items coming up so just wanted to park cash somewhere for a little bit.