With four months and change to go in the year, there’s still plenty of time to deploy some funds and invest in your future.
In thinking about where to put $25,000, I think it first helps to define your goals and the time frame for when you need it. I’m going to assume you don’t need to touch it for a minimum of 3-5 years.
If you have a significant amount of student loan debt, consider refinancing if that’s an option, then weigh whether it’s better to pay down that amount or invest.
Considering the rate of inflation averages 3-4%, stashing away money in only a savings account long-term is similar to continually filling a bucket of water with a tiny leak in it.
P2P in a nutshell – people are looking to borrow money, and investors get together online and loan money to these borrowers at a predetermined rate of interest.
A 401k is a retirement plan sponsored by your employer. The contribution is pre-tax, growth in the account is tax-free, and you pay taxes only when you withdraw the funds, hopefully after age 59.5, otherwise you have to pay a 10% penalty.