Late to invest
Hi Terry I appreciate your work and learn a lot! I am 65 yrs old plan on working 6-10 more years. I only have 401K for retirement. Not enough in there for an advisor to take on. I will open a Roth IRA as much as it allows and want to buy stocks & bonds to diversify. Problem now is my car and need a new one. I have to take out money from 401K. No choice. Any advice?
Terry Says
Don’t take the money out of your 40lk. Let it grow! Why pay taxes on the withdrawal?!
Instead use the money that was going into your IRA to buy the new car if necessary.
And keep contributing to the 40lk — at least enough to get the employer match.
PS. Keep in mind that the stock market is not always the “easy way” to make your money grow. In a bear market, it could also shrink dramatically.
