Hi,I'm just about to open a Roth IRA, but I have a few questions. I was going to open one with Vanguard's 500 Index, but something occured to me. If I contribute $1000 to that can I only deposit the remaining $1000 annual contribution limit into a brokerage account? How does this work? What I wanted to do was to open the index fund and also pursue a F4 or some other investing strategy. Any suggestions?Thanks.
My suggestion for this year would be to put the whole $2000 in the Vanguard fund and wait till next year or the year after before starting on the Foolish Four; or do the Foolish Four outside your retirement account. You will incur 4 commissions buying the Foolish Four, which if you can only put $500 in each stock, is significant. You are allowed more than one IRA. I'd wait until the Vanguard fund is at least up to $10000 before starting on individual stocks. Also, last year the Foolish Four didn't do that great. High flyers were more in favor than value stocks. The fashion will turn, but doesn't appear to have done so yet. My 2c. Chris
If you're allowed more than 1 IRA, I take it the $2000 maximum contribution is per IRA not per year?
LimShady,The $2000 limit is per person per year. Would that it were otherwise, we'd all have multiple IRAs.-Chester :)
If you're allowed more than 1 IRA, I take it the $2000 maximum contribution is per IRA not per year?And you'd be wrong!The $2K annual contribution limit per person is for total contributions, whether they be to one or a dozen accounts.
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