No. of Recommendations: 0
ChloeCreek wrote:
Would someone give me a brief plan as to my first step towards starting an IRA?

Fairly simple.

1. Select several brokers or mutual fund companies (I would do a deep discount broker).

2. Call/visit the web sites for each candidate and request an IRA kit and related forms.

3. Study the forms and info.

4. Decide that's important to you and select the one that best matches your needs.

Is there a minimum initial investment?

Depends on where you open the IRA. Some have minimums, some don't. Some have no minimums only if you set up automatic investments, etc. Read the literature (and the fine print about fees, like yearly maintenace and termination fees).

Can I direct deposit from my salary?

Probably not directly from your paycheck (but check with your employer here). An option used by many, many folks is to set up an IRA where automatic monthly withdrawals are made from your checking/savings account and deposited into the IRA. You set up arrangements like this with whoever you chose as the IRA custodian (not all offer this option, but most do).

Also visit the Discount Broker board for more info:

Good luck.

Print the post  


The Retirement Investing Board
This is the board for all discussions related to Investing for and during retirement. To keep the board relevant and Foolish to everyone, please avoid making any posts pertaining to political partisanship. Fool on and Retire on!
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and Glassdoor #1 Company to Work For 2015! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.