Im in my late teens, and I have about a grand to my name in a checking account. Lately, Ive been thinking about taking a very very small portion of that, and investing it into stock. Fun, successful stock, like Coke or Disney, nothing risky, so i can make a profit. But how do I go about doing that? Do i need to meet with an investor?
Also, even though im slowing building up my social security with my job, I want to start a Roth IRA and invest a small amount every pay period, for my retirement
Its imporant to me to save money and use it wisely, because I've seen family members deal with tough financial times, and it realy sucks!
HOW DO I GET STARTED? And how do i convince my mom that this is a good idea w/o her thinking im crazy?!
2006-10-01 11:03:18 · 3 answers · asked by woah 2 in Business & Finance ➔ Investing
Talk to a Broker, Mutual Funds may be your best route to investing. At your age a Roth IRA is the smart thing to do.
Although you cannot deduct the investment, it grows tax free, you will not pay taxes when you withdraw the money. If you afford the $2000.00 investment per year you will never regret it.
2006-10-01 11:26:54 · answer #1 · answered by John W 1 · 0⤊ 0⤋
You need to open up a Roth IRA account with a brokerage firm. There are many to choose from -- Scottrade, ETrade, Ameritrade -- are the major online ones. Just go to their site, fill out their forms to open up an IRA account, mail them your check, and then buy some stock! Coke and Disney are great stocks to hold onto forever. Be prepared for the ups as well as downs. It's also good to start reading online about investing. A couple good places to start are investopedia.com and fool.com.
Actually, the annual limit on IRA's now is $4000. To convince your mom that it's a good idea, tell her that if you invested your $1000 right now, it will grow to over $5000 in 25 years (perhaps even more if you pick the right stocks).
2006-10-01 18:59:02 · answer #2 · answered by fisuiks 2 · 0⤊ 0⤋
You can do it through an online or offline brokerage company. You have to be 18 to get a Roth, but you can build up your money before hand. Not only that, you should be studying up on the basics so somebody starts spewing technobabble at you, you will know what they mean.
Online you just fill out the information online and presto you get an account. Then you send money (you tell them how you want that done online) and then you put your order in and they buy the stocks for you. When you want to sell, you create a sell order (basically saying you want to sell 500 shares on such and such date).
With an offline brokerage firm, you use the phone and mail system. You can do more over the phone though, if you want to do more than buy and sell stocks in your Roth (for instance you can have physical objects tied to your such as real estate and baseball cards).
2006-10-02 04:05:30 · answer #3 · answered by gregory_dittman 7 · 0⤊ 0⤋
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2006-10-01 21:08:57 · answer #4 · answered by stock_trade_expert 3 · 0⤊ 0⤋