i am 45 and divorced and have income of only 26000 a year and pay 375 a month child support. i have no investments at work or insurance .
2006-09-30 08:51:05 · 11 answers · asked by sigmond 3 in Business & Finance ➔ Investing
At least start up a personal IRA, you can deposit 3500 or more before your taxes are due in April.
2006-09-30 08:55:21 · answer #1 · answered by amglo1 4 · 0⤊ 0⤋
At $26,000 per year, you don't have too high of a tax bill.
I would put $4000 per year into a Roth IRA, for tax free retirement savings, if you can afford it. $4000 per year is the maximum.
Your child support is not deductable. You might start a Coverdell Education Savings account for your children. Maybe you can get their custodial parent to use part of the child support money for that. The max is $2000 per year per child, and you are paying $4500 per year in child support. I know that is not what you were asking about, but doing something for your kid(s) is always nice.
I do my IRA and my children's Coverdell account at Scottrade, and can invest in a variety of stock and mutual funds. UMREX has been my best mutual fund there, it has no loads and no transaction fees unless I hold it less than 6 months.
McDonalds has been my best stock.
Of course, any investments carry risks.
2006-09-30 16:07:15 · answer #2 · answered by Anonymous · 1⤊ 0⤋
I wouldn't do an IRA or Roth, your money will be essentially tied up or face huge redemption and tax penalties if money gets 'tight' in your future and you need to get out of the funds....you want taxable DRIP accounts at least until the child support payments stop...sell them whenever and pay just your 15% tax rate only on the profit(cap gains)
2006-09-30 22:22:15 · answer #3 · answered by -* 4 · 0⤊ 0⤋
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2006-10-01 21:37:33 · answer #4 · answered by stock_trade_expert 3 · 0⤊ 0⤋
Try investing in precious metals. The market is very bullish and the economic boom of emerging markets like China, India and Brazil is rapidly increasing the demand for precious metals used in various technological applications( ex. platinums, rodium, palladium, etc). See more info below:
http://preciousmetalsinvesting.blogspot.com/
2006-09-30 21:59:31 · answer #5 · answered by MADELINE F 1 · 0⤊ 0⤋
I second Eagle's advice. I own a Roth @ Scottrade. Also have most of the rest of retirement in an S&P 500 fund.
These links will get you started.
Good Investing to you!
:-)
2006-09-30 17:31:36 · answer #6 · answered by WikiJo 6 · 0⤊ 1⤋
I would say do invest in a CD or some bonds! that would be a smart move! If you are interested i could give you some more information on this. Email me at Lamar36116@yahoo.com
2006-10-01 10:07:03 · answer #7 · answered by lamar36116 2 · 0⤊ 0⤋
Shares in Fortune 500 company's
2006-09-30 15:56:19 · answer #8 · answered by SKG R 6 · 0⤊ 0⤋
You will invest mutual fund for systamatic investment plan(SIP)
monthly Rs500 onwards or RD deposit in bank
2006-10-01 00:41:54 · answer #9 · answered by Sridhar R 1 · 0⤊ 0⤋
I hope this doesn't sound insulting but i would get a part time job and put all that money intot he stock market. 26K just isn't going to give you enough money to play with and eventually retire on.
2006-09-30 23:31:07 · answer #10 · answered by CyndiLauperfan 2 · 0⤊ 0⤋