Prioritizing paying off debt before retirement? These balances may need different treatment.

Debt can strain a retirement budget funded by sources such as Social Security, pensions or withdrawals. But paying every balance off before leaving work may not be the best approach.

Credit cards often carry costly interest, making early repayment worth considering while income is still coming in. Balance transfers, consolidation loans or debt management plans may help some borrowers lower repayment costs.

Mortgage decisions depend partly on tax circumstances and available cash. For eligible homeowners who itemize, mortgage interest may be deductible, so maintaining savings and retirement contributions while making scheduled payments could be preferable to paying the loan off quickly.

High-rate auto or personal loans can also take a sizable share of retirement income. Clearing a burdensome monthly payment may offer more budget flexibility than making extra payments on a low-rate mortgage.

People with federal student loans should review repayment choices rather than automatically using retirement savings or cash reserves to pay them off. Default can carry serious consequences, including possible withholding from certain federal benefits.

Before paying extra, weigh the rate, monthly payment, tax effects and resources needed to clear the debt. The aim is a manageable financial plan for retirement, not simply zero debt.