How to invest extra money
Hi, Terry. I watch you all the time on WGN news and really value your knowledge. I have anywhere from $400-$900 a month in “extra” money to invest and don’t know where to start. I have almost maxed out my 401k monthly contribution through work, I have about $600 in allotments going to various savings accounts each paycheck (paid bi-weekly), but have $400-$900 I’d like to invest in either a Vanguard, Fidelity, TD Ameritrade account. The problem is I don’t know ANYTHING about how to trade/invest in stocks, companies, etc, and don’t want to learn. I just want to give someone this money and they invest it wisely for me. I did buy an I bond for $10,000 last month but where would you suggest I start trying to figure out how to invest this extra money I have? I greatly appreciate any advice you can give me!
Terry Says
Well, congratulations on having “extra” money. I don’t know anything about you and your life situation. I’m guessing you don’t have children, or you would never have “extra” money.
How about just letting it accumulate in the bank for a while so you have $10,000 to buy more I-bonds in January.
Or open a Roth IRA at Vanguard, if you’re willing to take a bit more risk. You can take this after-tax money and have it regularly deposited into their S&P 500 stock index fund. Taht ssumes your income is below $140,000 or $208,000 if married filing jointly.
