2006-06-12 13:48:46 · 4 answers · asked by superflygurl123 3 in Business & Finance ➔ Investing
GOD YES!!!! NOW IS A GREAT TIME!!!
I work as a financial advisor and I wish I could get as many people in their 20's to buy a Roth IRA.
Remember, a Roth IRA means that you do not pay taxes on the growth or interest, and their is no taxes when you take the money out after age 59 1/2 years old.
Also, if you work and you company offers a 401k, try that as they might match you on what you put in. Remember, that money is not taxed when it goes in, but is taxed when you take it out after age 59 and 1/2.
If you are so inclined, you can do both.
Try Scottrade.com, or etrade.com if you want no limits on what you can invest in.
Start with a mutual Fund that is called "balanced" or Asset Allocation.
2006-06-12 16:24:22 · answer #1 · answered by man_about_the_net 3 · 1⤊ 0⤋
Good for you for doing this early! Too many people wait till they are in their 40's or even later to plan for retirement.
As for where to open the account, check with your employer and use whatever fund or brokerage they do-- most employers offer a matching program as a benefit, where they put in a percentage of your contribution. For example, my employer does a 50% match. When I put in a dollar, they add 50 cents. It's like free money and it adds up really fast. Most employers will only contribute if you are using their financial house or broker--- there'd be too much paperwork and impossible to keep track of if everyone got to pick their own. Make sure you find out about your vesting date--- that's the date when you can take the employer's contributions with you if you leave; most employers will put in contributions right from day one but if you leave in the first 3-5 years, their contribution goes back to them. Don't worry, though, any money you put in, you can transfer to your next employer's fund even if you are not vested.
2006-06-12 16:24:15 · answer #2 · answered by dcgirl 7 · 0⤊ 0⤋
Fidelity, I open my Roth IRA account with them since the beginning of the year, and it is no fees.
2006-06-12 15:53:11 · answer #3 · answered by THINKMAAN 5 · 0⤊ 0⤋
One of the top 5 places would be Vanguard family of Mutual Funds.
They have many choices, no-loads, low operating costs, and low account opening requirements.
2006-06-12 14:27:18 · answer #4 · answered by Puzzleman 5 · 0⤊ 0⤋