Am I thinking about this wrong? Should I push down retirement again? But I feel the last time I did that that money just got spent, and neither saved for retirement nor increased savings accounts. I guess I will try it, and see how it goes...
PG, this was exactly my experience as well. Even though the conventional wisdom is pay down debt, then invest, I found my "ordinary" spending was slushier when i had a larger paycheck.
As a result, I've invested a lot over the past few years, while I carried a $2-$3K credit card balance at 3.9% interest. For me, it was better to pay chunks of the CCd off (and then have it float upwards again) than to try and eliminate it entirely with no savings. When the CCD got to $3K, I'd tend to buckle down and get focused. When it got paid down or off, I'd start unloosening the belt again. That was a frustrating pattern when coupled with no retirement savings on the "good" side of the ledger.
So, for my personal circumstances, savings for retirement always came first, and debt repayment was part of the written budget. The interest I've paid has been so insignificant that it's been worth it, to me. YMMV.