Recently I was listening to someone talk about, “I have to wait until I save up tens of thousands of dollars so I can get help from a money manager to invest in the right mutual funds.” No you don’t.
There was a time when you’d take very little money into a money manager and they’d say, “come back when you have $100,000.00 or more” and now it seems some are saying “$50,000.00 or more”, but you can great started way before we save up $50,000.00. You can open a Roth IRA if you read my third action for as little as $250.00.
I’ll be adjusting this third action a bit by emphasizing that I highly recommend investing in a Roth IRA. There’s always a tax position you have to consider when you’re investing. So you have to ask yourself, is this a taxable account or not. Based on how you answer that, will determine how you buy your mutual funds.
For instance, if you’ve topped out the $4,000.00 contribution (if you’re under age 50) to your Roth IRA for 2007 and you’re still wanting to invest in more mutual funds, then you’ll most likely have to invest in those funds in a taxable account.