Author Topic: Another Where to Invest Question  (Read 1584 times)

Esco

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Another Where to Invest Question
« on: March 17, 2013, 08:43:43 PM »
Hi everyone! I'm  looking for advice on where to invest $15K in cash that is currently sitting in a very low yield savings account.  I am very new to investing but have been reading this site and several others to try and gain some knowledge for early retirement/retirement savings.  The idea of early retirement in 10-15 years sounds wonderful.  We are working on getting our spending down from where it is currently.  Quick background: 

31 yrs old
Married
2 kids 3 & 1
House with a mortgage with 20 years left at 4.25%
The only retirement plan I have currently besides the fund mentioned below is the standard pension through my employer

The only investment we have currently is a defined contribution plan (similar to a 401a I think) that gets $2,700 into it now with a total of $22k sitting in it as of a couple of days ago.

My plan thus far is to max out a Roth IRA for 2013, but what about the remaining $9.5K?

Thanks!

icefr

  • Bristles
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Re: Another Where to Invest Question
« Reply #1 on: March 17, 2013, 10:37:45 PM »
If you're married, you should be able to put $5.5k x2 = $11k into Roth IRAs for 2013. Have you contributed to a Roth IRA for 2012? I would put $10k for that in first. Vanguard is great. I would also read the Bogleheads wiki as a great starting place for understanding investing better before you get into it too much. You can always just put your Roth IRA contributions into a money market fund until you are more familiar with stock investing.

Esco

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Re: Another Where to Invest Question
« Reply #2 on: March 18, 2013, 12:06:10 PM »
It appears I have gotten ahead of myself and have some studying to do.  I'll be starting with the Bogleheads Wiki and formulating a financial plan to drive the future investments.  It's hard to start when you don't know where you need to end up.  Thanks.

icefr

  • Bristles
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Re: Another Where to Invest Question
« Reply #3 on: March 18, 2013, 01:38:37 PM »
No worries! Come back and ask questions when you get confused in your studying :)