Allah@lemmy.world to Ask Lemmy@lemmy.world · 6 days agoWhat else should i invest in besides saving to buy a home?message-squaremessage-square52fedilinkarrow-up160arrow-down17
arrow-up153arrow-down1message-squareWhat else should i invest in besides saving to buy a home?Allah@lemmy.world to Ask Lemmy@lemmy.world · 6 days agomessage-square52fedilink
minus-squarexylogx@lemmy.worldlinkfedilinkEnglisharrow-up4·edit-25 days agoFrom the “Financial Advice Index Card”: 1. Max your 401(k) or equivalent employee contribution. 2. Buy inexpensive, well-diversified mutual funds such as Vanguard Target 20xx funds. 3. Never buy or sell an individual security. The person on the other side of the table knows more than you do about this stuff. 4. Save 20% of your money. 5. Pay your credit card balance in full every month. 6. Maximize tax-advantaged savings vehicles like Roth, SEP and 529 accounts. 7. Pay attention to fees. Avoid actively managed funds. 8. Make Financial Advisors commit to the fiduciary standard. 9. Promote social insurance programs to help people when things go wrong.
minus-squarefrog_brawler@lemmy.worldlinkfedilinkarrow-up1·3 days agoI disagree with #2. All of the target date funds tend to have 1.5-2% returns and are largely intended for people that aren’t looking at alternatives. Almost anything is better.
From the “Financial Advice Index Card”:
1. Max your 401(k) or equivalent employee contribution.
2. Buy inexpensive, well-diversified mutual funds such as Vanguard Target 20xx funds.
3. Never buy or sell an individual security. The person on the other side of the table knows more than you do about this stuff.
4. Save 20% of your money.
5. Pay your credit card balance in full every month.
6. Maximize tax-advantaged savings vehicles like Roth, SEP and 529 accounts.
7. Pay attention to fees. Avoid actively managed funds.
8. Make Financial Advisors commit to the fiduciary standard.
9. Promote social insurance programs to help people when things go wrong.
I disagree with #2. All of the target date funds tend to have 1.5-2% returns and are largely intended for people that aren’t looking at alternatives. Almost anything is better.