UnThreaded | Threaded | Whole Thread (16) | Ignore Thread Prev | Next
Author: 4swgray Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 76243  
Subject: Re: IRA or no? Date: 4/30/2011 12:17 AM
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Recommendations: 0
It is more important what you do with your money after you earn it than how (or how much) you earn. The key is NOT to spend all of your earns given that there are only three ways to make money: land, labor or capital.

As a starting investor, first establish your emergency reserve fund while eliminating all debt. As your grandparents lived, if you don't have the cash to buy the thing(s) you want then you save until you can afford it. Debt is the number one enemy of financial independence, ergo credit is the number one evil...path to slavery.

This aside, self directed IRA's tend to be better than 401k's because the traditional IRA provides you greater options than the hand full of mutual funds typically offered in a 401k. In an IRA you can start with core ETF's that function like mutual funds but don't have the fees as they trade like stocks. XLI (the industrial ETF) is hot right now, but there are many options.

Must of the discount brokers have no fee IRA's with low trade costs, so look at a few and the save as much of your earnings as possible after you have achieved an adequate emergency fund of at least 2-months income.
Post New | Post Reply | Reply Later | Create Poll Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (16) | Ignore Thread Prev | Next

Announcements

The Retire Early Home Page
Discussion on accelerating retirement day.
Pencils of Promise - Back to School Drive
"Pencils of Promise works with communities across the globe to build schools and create programs that provide education opportunities for children."
Post of the Day:
Value Hounds

Considerable Headwinds for Profire Energy?
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.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! 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.
Advertisement