Author Topic: Where do I start?  (Read 2457 times)


  • 5 O'Clock Shadow
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Where do I start?
« on: September 11, 2014, 12:59:17 PM »
I'm new to this community, as well as reddit's personal finance community, and am trying to read up to start making smart choices with my money. I was raised in a "not quite making it paycheck to paycheck" family so have never seen anyone invest. It seemed like this big, expensive form of gambling, but for very rich people. As I learn this is not the case, I have the desire to invest my nest egg that had just been sitting in a savings account for the past 10 years. I have about 10k if like to invest, but am not sure where to start.

Any blog post I should jump to? Any basic "for dummies" info you can give me to get started while I learn more?

My other option is to continue to hold it in a savings account to use to help but a house, but I won't be able to do that for at least a couple years so I thought it made more sense to have my dollars "working for me" in the mean time.

Cheddar Stacker

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  • Senior Mustachian
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Re: Where do I start?
« Reply #2 on: September 11, 2014, 01:42:28 PM »
I_hate_haggling, welcome to the forums.

In addition to CS's suggestions here are two more:

Good luck!


  • Magnum Stache
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Re: Where do I start?
« Reply #3 on: September 11, 2014, 08:46:14 PM »
Open Roth IRA at Vanguard, deposit $5,500 for 2014.

Is your timeframe at least 15 years?

Can you stomach a 50% drop in the market, if you know that long term, you will beat bonds?

If so: put it all in Vanguard Total Stock Market (VTSMX)

If not: Pick a target date fund or other fund with less expected price swings, but lower long-term returns.

On January 2nd, deposit another $5,500 for 2015 into the same fund.

Don't worry about multi-fund diversification until you have at least $50,000 invested.