Young Investors are the Most Conservative

You can save for both. Anyway with a Roth IRA you can take money out for a college education for you or your children as well as take money out to avoid foreclosure or to put down for a home. It's better to start saving at least ten percent or more in your Roth IRA each month. If you need to, you can save five percent for an emergency cash fund and put the other in your Roth IRA. I started out years ago just putting in $50 month, and over time, it's really done quite well. My portfolio has averaged, since its inception 11.36 percent. And last month dividends were up to 16.94 percent. It does work, you just need to be diligent and come up with creative ways to save. Even if you have a garage sale, sell stuff on eBay, take in an extra roommate or sell some of your stuff at a local flea market it does work. You don't need to be a genius to do this; however, most people just lack the knowledge to save over the long term. It's best to start early. If you inherit money, that's great, too. Don't squander it, invest a good portion of it. That's what I'm doing. Remember, all I could afford was $50 when I first started out; then I increased it to $100 a month. Now I can max out my Roth IRA, and I'm only 44. Obviously, I did inherit some money, which I will not squander. Even if I didn't, I would come up with some creative ways to make extra money. My home is about 80 percent paid off as well. I plan on paying it off in the next couple of years. It can be done, but most people I talked to don't have the character to take in roommates (like I did for 15 years) or sell stuff on eBay or drive to the flea market and sit out in the hot sun to sell extra merchandise, etc. They always seem to come up with excuses as to why they just can't do it or how it will not work for them. It does work. I even take dogs and cats in my house and babysit for them. How hard is that? You know how to walk a dog or scoop up cat litter? I plan on selling my home eventually and buying a new home in cash with a guest house. I'm going to rent out the guest house for extra income and continue to max out my Roth IRA. It can be done, but you better be willing to sacrifice. Try TRowePrice. I feel comfortable investing with them.

Saving for my future of FL 3:10PM February 13, 2011