2007-01-31 10:55:07 · 14 answers · asked by Joel R 1 in Business & Finance ➔ Investing
You can open a Roth or Traditional IRA with any amount but the max per year is $4000 for 2007, in '08 it goes up to $5000. And I agree with others that the Roth is the better choice if that is you in the avatar (relatively young!)
A lot of people think you have to put all that in at once - no way!
If you are like most people you don't have that much right now so put in a small amount every month and stick to it. Try and set it up so it happens automatically from your bank or better yet your paycheck. Something like $100 or more if possible.
Let it accumulate in a Money Market fund (its like a savings account) until you have enough to buy an index fund.
Check out one of the discount brokers that have offices like TD Ameritrade or Etrade and they will walk you through this.
Stick to this plan and you are on your way to some serious money in the future and for your retirement.
2007-01-31 14:31:26 · answer #1 · answered by Anonymous · 0⤊ 0⤋
$2000 for a Roth IRA or $4000 for a traditional. You can put in more if you've not yet contributed to your 2006 IRA yet. Check your qualifications.
In most cases, the Roth IRA is the best way to go. It's after tax funds that you put into an account now and it gets to grow tax free. I'd probably put the conservative $$ in a different account and let the ball roll more on this one, only because if you get higher compounding on this money, you get to keep it all.
Keep in mind that a ROTH IRA does not have to be in mutual funds, nor does it have to be on bonds or any cr*p like that.
If you are comfortable buying stocks or ETFs, you can do almost any type of trades in your ROTH IRA as long as you know what you're doing. :-) Many brokers don't always tell you this and if your broker doesn't understand this, then it's time to get a new broker. Too many damn stupid brokers out there that just want to leech off of people's money. (sorry about t-ing off, but too many people are just not educated enough to fight back or to even know to)
Hope that helps!
2007-01-31 18:59:49 · answer #2 · answered by Yada Yada Yada 7 · 1⤊ 0⤋
As much as you can (up to the legal limit). For most people under 50, the max is $4,000 per year.
BTW: Consider a ROTH IRA vs. a regular IRA.
Also: The worst place to get an IRA is through a bank or insurance agent.
2007-01-31 19:54:05 · answer #3 · answered by Common Sense 7 · 0⤊ 0⤋
Max it out at 4K for 2007. In 2008 it will go up to 5K. If you invest in a Roth IRA you will never pay taxes on the proceeds.
2007-01-31 19:22:22 · answer #4 · answered by Michael 2 · 0⤊ 0⤋
Whatever you can afford!
Many options will have a minimum initial investment, or maybe a smaller minimum if you commit to making regular additions (which is the best way to go...it's a good habit)
Just bear in mind that through compounding, the earlier the better...
Be wealthy!
2007-01-31 19:01:39 · answer #5 · answered by Anonymous · 1⤊ 0⤋
The minimum isnt usually an issue,
the maximum is usually 3K a year that you are allowed to put in there,
I say max it every year if you can
2007-01-31 18:58:23 · answer #6 · answered by fighterace26 3 · 0⤊ 0⤋
You can go with the standard minimum or maximum investment, or you can go with whatever you can afford to put in within the prescribed parameters.
2007-01-31 18:58:59 · answer #7 · answered by JADE 6 · 0⤊ 0⤋
about 2 machine guns and a hand granade. But if you mean the
IRS? thats totally different.
2007-01-31 19:05:19 · answer #8 · answered by DONALD C 1 · 0⤊ 0⤋
I opend one for my son with 1000$ and this works just fine . I would suggest that you get in contact with your bank or insurent to get more info on that
2007-01-31 18:58:43 · answer #9 · answered by silverearth1 7 · 0⤊ 0⤋
57
2007-01-31 18:57:09 · answer #10 · answered by myworld872 1 · 0⤊ 3⤋