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I would also STRONGLY encourage you to copntribute to your 401k since it will reduce your taxes by 15 cents per dollar and give you a huge head start in life. Even if it is only $50/month it is a good habit to start now.
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Eric is a financial professional, so of course he would give you this advice. But, let me give you some of my own, from an amateur's point of view-
Start putting money into your 401(k) now.
As much as you can tolerate. I'd say at least 10% of your gross. Seriously. Yes, you'll have less to spend, but in a few years, you'll be well on your way to a fat account, and you'll be glad you did. Additionally, when you get around to having kids, you'll likely need to cut this back (I did, since "The Man"
hasn't seen fit to give me, or anyone in my company, a raise for a LONG time). So, better to shove a bunch in now, while you have low expenses, AND the best investing asset- TIME- on your side.
EDIT- FICA is 7.65% of your gross, IIRC.
Todd
P.S. "The Man" thing is an inside joke between me and my boss. I stay by choice, in spite of the money thing, because it's good work, and good benefits. Don't pity me.
