<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Originally posted by HummerNewbie:
<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Originally posted by KenP:
<BLOCKQUOTE class="ip-ubbcode-quote"><div class="ip-ubbcode-quote-title">quote:</div><div class="ip-ubbcode-quote-content">Originally posted by h2co-pilot:
I take my pocket change at the end of the day and drop it in a jar. I put away about $1 a day, that's just $7 a week. At the end of the month, I'll have about $30.
Since this is money in my pocket, I've already paid taxes on it in the form of withholding from a paycheck. (If you're self-employed, that's not true, but we'll ignore that to keep things simple.) Every month, I deposit my savings in a Roth IRA account, where it can grow tax-free and - more importantly- it can be withdrawn tax-free in the future.
Growing tax-free for 30 years, with a 10% annual return, my investment account will be worth $67,815. (Stocks overall have returned an average of more than 10% a year since 1926, so buying a broad-based stock index fund the Vanguard Total Market Index Fund (VTSMX) is the easiest way to capture that kind of growth.)
http://www.forbes.com/funds/Tearsheet.jhtml?tkr=VTSMX
</div></BLOCKQUOTE>What's the account number, again?
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BUSTED
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Seriously, did anyone actually believe that I do that? I'm not old enough for a Roth IRA anyway, I don't think. I don't get a paycheck, and all my change goes to the bottom of my purses. Then I dump it into the valet on the counter when I switch them. I do have a pretty good sum in a retirement acct., of my own earnings and profit sharing from previous employment, invested in a mutual fund (UBS) so GFYs.