Best way to plan for your future as a young adult?
- Thread starter MSI Magus
- Start date
[quote name='cdrober']I second this, pick some mutual fund company you like (you can look at places like finance.yahoo.com or something to find one that invests in industries you like) and max out your roth IRA every year you can. You will save a ton on taxes compared to any other way you can invest, but this is also why there is a limit on how much you can save in it.
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Maxing out your Roth IRA each year will not do anything for your taxes. Your Roth IRA is funded by after tax dollars. You cannot deduct this off the top. If you had a traditional IRA, you can deduct this each year and save taxes up front. The Roth is taxed now, the traditional is taxed later when you withdraw it.
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Maxing out your Roth IRA each year will not do anything for your taxes. Your Roth IRA is funded by after tax dollars. You cannot deduct this off the top. If you had a traditional IRA, you can deduct this each year and save taxes up front. The Roth is taxed now, the traditional is taxed later when you withdraw it.
bread's done