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Investing/Strategies / Retirement Investing
|Subject: Re: How do I Invest in an IRA?||Date: 6/11/2003 12:00 PM|
|Author: billyturtle||Number: 36510 of 77407|
You should be proud of yourself. You're only in college and you're about 10 years ahead of the average American when it comes to saving.
First thing first. An IRA is an individual retirement account. It's just a type of account, like individual or joint. You can buy just about anything to put in your IRA. So what you'll do is open an IRA with a discount broker. Then you'll be able to buy various securities, among them are usually index funds. You could also open it at a bank, credit union or mutual fund company directly.
I suggest you look at Scottrade as your broker. I've had only good experiences so far. It's easy to navigate and cheap. It's free to purchase shares of a mutual fund as long as you hold them for 90 days.
I'd also suggest that you set a goal for yourself of sending $25-50 every month in to the IRA. More if you can. It'll be good training for when you enter the real world. I just did it a couple years ago and I tell you, $30k sounds like a lot, but it goes pretty fast. Saving has to be a priority. Your standard of living will probably go down after you finish college. But keep saving and you will be so far ahead of the game. retirement at 45 here you come.
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