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Personal Narrative: My First Post College Degree

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As a college graduate, I would probably be perplexed if I were offered a lump sum of $5,000 sign-on bonus for my first post-college job. There are a number of things to consider when deciding whether to pay off existing debt or invest the money for additional earning potential. The first thing that I would consider is my risk tolerance including my age, income, earning power, time horizon and tax situation (Artzberger, 2014). My age at the time would weigh into the decision heavily. Meaning, at this time, I am relatively young and the time value of $5,000 at 5% interest would be approximately $21,000. Since I have paid taxes on the money, I could invest in a Roth IRA for tax-free gains upon retirement. On the other hand, paying off debt may

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