Good Investments Vol. $5,ooo (Goal orientated need to read)

[lazyj10]

Finally, those saying that tax rates will go up, which makes my 15% unrealistic, wouldn't that hurt the Roth as well? Considering that the Roth contributions are taxed and the 401K reduces your taxable income.
Yes, but I'm saying, I rather pay the tax right now, in my current income bracket as a single man. That's the difference. I'd rathertake my lump right now, than in 35 years when I retire.
I'm not contributing enough, nor could I, at a regular 401k to bring me down an income level. So that's a wash.

 

[dunknforce]

good info, glad i re-checked the thread

 

[blue in green 23]

screw long-term and retirement plans. you're young. get some balls and speculate a bit. start with equities and then higher profitable securities likederivatives. short-term trade, short and buy equally.

why?

1. learning this stuff now will be great for the future as you hone your skills, have higher capital, and are able to sustain good returns.
2. you're young. you can afford to risk this type of penny change now.
3. good trades in stocks outperform any other investments by ridiculous margins.

 

[dirtylicious]

any why not do both?...

especially at such a young age...getting started early is the best thing in retirement planning.. I definitely plan on teaching my kids this....I wish myparent's had
he can start his retirement funds now...and in addition do some non-retirement investing.

but like a lot of fin advisors say.... if you don't have a minimum 10K in your portfolio....don't bother investing in stocks.

 

[360wavesandxbox]

Invest in Georgia Pacific for a couple of months..Their stock always spikes this time of year...just a lil stock tip for those looking to make a small gain..

 

[chinoman1782]

It was announced on November 13, 2005 that it would be acquired by Koch Industries.[sup][1][/sup][sup][2][/sup]

On December 23, 2005, Koch Industries finalized the $21 billion acquisition of Georgia-Pacific. Georgia-Pacific was removed from the NYSE (it had traded under the symbol GP) and shareholders surrendered their shares for about $48/share.

why did you add this bit of info?

 

[blue in green 23]

if youre speculative, 10g's is definitely not a low point

 

[kevenmayne]

Originally Posted by Dirtylicious

Originally Posted by DunkNForce

Originally Posted by Dirtylicious

how old are you?...and do you have a job that creates taxable income?

I am 18, a freshman in college. I just recently got a job 2 months ago at a shoestore

ok...so the reason why I ask is that you state this:

I am ready to start a investment that will last me a lifetime.

check it....you can open up a Roth IRA, which grows tax free.
the catch is that you have to wait until you're at least 59½ to take distributions and you need taxable income for the years you contribute. (up to $5000 or the amount of taxable income for the year,whichever is less)

so check out these numbers if you just open up your Roth with the 5K and simply just leave it alone....
and factor in a very modest 9% return:
EDIT...I just realized my #'s were off.
at age 60...that 5K has turned into ~227K ~$389K
or if you wait 5 more years...
at age 65...that 5K has turned into ~350K~$600K

now... supposed instead of just leaving it alone and add $1K every year until you're 55.
still factoring in a very modest 9% return
at age 60...your balance would be ~$625K~$780K
or if you wait 5 more year...
at age 65...your balance would be ~$961K~$1.2M

change that 1K to 1500 and the #'s are
60 = ~$823K~$986K
65 = ~$1.267M~$1.5M

how's that for a nice sum for your retirement?...and all it took was a 1500 a year.

additionally... presumably you'd contribute to your 401k at your job...and make other non retirement investments

 

[duckdafraft]

so what did you end up spending the 5 racks on?

 

[getthismoney]

now THAT is the worst "investment" you can make
co-sign. roth IRA's are not something u wanna start. if u think a mil will be anything in 40 yrs ur stupid.

why pinch pennies to throw money into a pit u cant touch until late 50's? Mutual funds are better than that trash unless u make an excess of money to throwin there, which at 18 u probably dont. At least u can pull out of mutual funds without crazy penalties.

Contrary to popular belief, 5k is enuff to jump in the market. Especially now theres so much going on u can jump into.

Read up on upcoming IPO's and make a couple of flips. Start living now.

I suggest u open a scottrade account and use 1000 to play around with to learn. Thats what I did.

A killing was made off VISA

. A good friend of mine made a grip of bearstearns. READ. read alot about whats going on and ull see opportunies will open.

In the mean while keep saving money from the job ur at now.

 

[dirtylicious]

lol..
i hear that time and time again... but you know what?...I'm good with letting my money sit and earn while I'm doing nothing

if you've got the gumption to go out and try and find the next thing...by all means... if you do...kudos to you....if you don't...then you're justlike everyone else who "plays the market"



again... a lot of people seem to forget the best part of the roth... GROWTH IS TAX FREE!!!....but hell. don't listen to me...I'm just some dude on thenet...listen to the other guys who tell you that YOU TOO can make it in the stock market!

 

[sirjordancoppalot]

cash equivalents like cds or foriegn. Try multi family homes like duplexes they go for the low, thats a good down payment

 

[i got a story to tell]

so all in all

i can place 5K in a Roth.

and forget about it basically. and by the time im in the 60s itll be 300k+

thats insane!

 

[wawaweewa]

9% is a modest rate of return?
I'd say if someone gets an average of 9%a year over a period of 40 years than he has done very well.

Also, don't forget inflation.

300k or 600k or 1 mil USD 40 years from now will not be the same as those sums today. It'll still be a good chunk of money. 300k will prob. be more like150k today 40 years from now.
That's also counting on the fact that we won't be on the Amero by then.

Dirty's advice was correct. Invest in a Roth.

Don't invest in the market, you'll get swindled. Unless you have some high up connects.
Where do people think all these hedge funds and big time investors make their money?

 

[getthismoney]

GROWTH IS TAX FREE!!!....but hell. don't listen to me...I'm just some dude on the net...listen to the other guys who tell you that YOU TOO can make it in the stock market!
growth means nothing if you're dead. u have to wait till 60+ for it to not be taxed.

Ok theres ppl that mess up in the market, but you know what nobody gets caked playing it safe. Greater risk=greater return. You can ensure youre retirementanyway off 401k's and purchasing a home. I say screw 65 yr old retirement. Im not content with being a slave until that age. Some people are happy withbeing safe id rather be broke and have tried, especially since he's only 18. He has family to fall back on for the next few years if he messes up. This isthe land of opportunity. Just do your research and dont jump in blind.

Further more, putting in 500 dollars a month into something u cannot liquidate fairly easily is a risk many americans cannot take. Things happen and you shouldbe able to pull your cake out anytime.

 

[mayor of nyc]

i would buy a honda accord with that 5,000...yes..i need a car that badly

 

[liquid heat x22]

GOOD POST....

 

[DCAllAfrican]

Originally Posted by DunkNForce

Yea, I agree. I have a uncle who works for Primerica, he's a financial guru , I talked to him today and he told me ROTH IRAs are great investments, there are many types, but Roth being Tax free makes it a great investment.

waiting for dirty

to answer that last quote

Who would he recommend opening a ROTH IRA with?

 

[heyson]

What the hell will I do with all that money when I am 60 years old? Invest in something you love and find ways that it can make you money. Start a business.

 

[ogbobbyjohnson773]

Originally Posted by heyson

What the hell will I do with all that money when I am 60 years old? Invest in something you love and find ways that it can make you money. Start a business.

So says the hare.

 

[heyson]

What does that mean? ^

 

[presequel]

question is......how realistic is it to get that 8-10%

is it really that easy.....or would it be more realistic for someone who has no idea what they're doing to get like 3-6%?

 

[ogbobbyjohnson773]

Originally Posted by heyson

What does that mean? ^

The tortoise and the hare. The hare wanted to win the race so he went all out, while the tortoise took it nice and slow.

 

[heyson]

Oh okay I figured that after I asked the question lol. I'm not saying it's not a smart choice to plan for the future, but if one can make money doingwhat they love when they are young it is worth the struggles.

 

[ogbobbyjohnson773]

Originally Posted by heyson

Oh okay I figured that after I asked the question lol. I'm not saying it's not a smart choice to plan for the future, but if one can make money doing what they love when they are young it is worth the struggles.

Agreed, as long as you put a good amount of money away, you can play and take risks with the rest.