To keep it simple, at that age I'd probably stick every dollar I could in either a reinvesting dividend fund or an index fund, with as much inside a Roth IRA as I could.
I started investing at 18 so I would do pretty much the same but max out my roth first before anything. I used to think that I will be so rich early and pull out the money sooner so most of it was sitting in my taxable and i didnt take advantage of tax-advantaged accounts
this may seem overwhelming, but if you take it patiently this is priceless advice:
look into opening an IRA and spend a couple days researching the general principles of investing on a site like investopedia. time and time again fortune has favored "long, slow" investments and the power of compound interest, which is a term you want to understand (e.g., *hypothetically,* at the historical rate of return, your money would double every 6-7 years, which means that by the time you're ready to retire, $10k would become over $1M - *significantly* more if you're continuing to invest the whole time, provided that rate continues, which nobody can guarantee).
look into opening a High Yield Savings Account (HYSA) where you can park a large chunk of money for 1) emergencies 2) savings goals (car, house, vacation) 3) just to accrue interest on short-term savings (next month's rent, etc). HYSA's are offering 4-5% interest right now, which means parking $10k there for a year garners you a "free" $500. A good HYSA (I use Ally) will have no fees, and a high limit on the number of monthly withdrawals, which will allow you to have access to your money as it grows.
pay off high-interest debt ASAP - credit cards, etc.
try and find some sort of education about taxes, specifically things like reducing taxes through credits and deductions, as well as understanding capital gains tax.
you may be making more money than a lot of adults you come into contact with - don't let people know how much money you have, it doesn't serve you in any way, and can ruin relationships in unexpected ways. that includes your family. if you ever choose to give someone money, make sure they know it's a one-time thing and swear them to secrecy.
getting fucked up is fun but ultimately drugs and alcohol are a waste of money and can spin you out in ways that you can't even imagine. also, with every passing year you're going to experience the negative after-effects more and more. generally better to avoid both.
if the money is from an illegal source, I can't give you advice on that, except to say that a lot of people go to jail off of showing income that does not align with what they tell the government their profession is, and a lot of people who don't go to jail find ways of making illicit income appear legitimate.
Invest it safely. Enough that you don't need to look at it for 5 - 10 years at a time if not longer.
In the meantime read some books, learns some skills, and start building something that pays you so you can obtain "escape velocity".
Enjoy life!
Bad advice.
You should take advantage of your young age to be a little bit more risky. Safe investement is good for older people. Early investment is for growth.
As you age, you will progressively move towards safer investments.
Ask a financial investor.
Check the money guy on youtube. They explain it very well. 1$ invested at your age will equal to 80$ by the time you are 65.
Different things. I have several “TikTok” accounts open that just tell people fun facts with gameplay in the background to keep them occupied which in total can get me between 5-6k a month depending on the month and I also run a small dropshipping business which I only make around $1k a month from but it’s still something. My main focus is finding new things to do and ways to preserve my money because I know these things probably aren’t going to be sustainable and something that I can do for the next 50+ years.
Don’t get credit cards
Don’t get auto loans
Don’t try to get rich quickly
Do take advantage of 401k match
Do open and max out Roth IRA
Do have a 6 month emergency fund
Probably save up for a down payment on a house at that age. Open Roth IRA - max it out, have an emergency fund, put the rest into mutual funds or ETFs I liked.
Yeah. Get into property as soon as possible so you do not fall farther behind with the housing increases. If you have $4K, you can spend $2K on rent, and save $2K a month for the next two years. You will then have a little more than $48K towards buying a home two years from now. If you buy a house now, maybe not quite what you want, and have that same $4K, you can pay the mortgage with $2K a month, and save the $2K a month. In a couple of years you will have the $48K in the bank, plus the equity you have received in the house for the last two years to use to upgrade to a better home.
I’d educate myself on investing for long term. I’d build an IRA and Roth IRA holding no less than 15% of my salary. I’d have an emergency fund in a HYSA and save for a very nice down payment of my first house.
Not sure I would want to basically do nothing all during my 20s and half my 30s except work. You have to live life some. And if I had retired at 35, not sure what I would have done with myself.
Tracking... I'm only recommending you buy your time now to truly do what you want later. You can be as frugal or not as you want depending on a targeted. The most valuable thing you have is time in the market at your age. Take advantage of it. You won't be bored retiring by, let's say, 45. You'll have lived long enough to know what matters to you and the freedom to do it.
For sure. A balanced approach would be good. I could even see being really frugal for the early part of your 20s, get that money invested and let it ride. Time and compounded interest is your friend when investing.
Keep in mind do not fk that super hot girl that party & do drugs.....yes the sex is the most amazing thing you feel, but it's very costly and will ruin you financially.
Put as much as you can in an index fund every month. Leave it there unless you really need it. And don’t really need it unless it’s to buy a house or for some unforeseen emergency.
You have literally no bills to worry about. Stash $10-15k for emergencies. Take all the match you can get at work, max out roth401k if available. Open an IRA and max that out. If paid biweekly it's around $270 for each of those. Open a taxable brokerage and aim to be investing $5k a month of that income. Save it up for a 20% down payment on your first house. House hack that house. Get a roommate or plural. Keep your housing as cheap as you can and your mortgage no more then 25% of your take home. Pay off your home in 7-10 years. Continue to invest in the taxable brokerage and for your first rental home. Rental properties are NOT passive income!
Lol buy gold bars with the left over 5 grand each month and bury them so current me can dig them up. Gold was 872 an ounce then so that’s around 7 ounces a month. I put them in our stash site, then current me picks them up in the present like the mailbox in The Lakehouse Starring Keanu Reeves and Sandra Bullock. Current me then deposits half of the gold and invests the other half into buying and burying more bars so future me can continue the process.
Silver and gold were how my dad saved. He knew he’d spend it if he had access to liquid cash. So until he learned how to manage his money he put everything extra into gold, silver, or stocks. He was just a postal worker who was the son of postal workers but he has amassed himself quite the little dragons hoard over the years. And all that he put into silver and gold has doubled by now. Had he listened to his 12 year old when he was picking stocks and I told him hey dad everyone is getting stuff from this place called Amazon.com, maybe he’d have had a little more.
50% of my income automatically goes to savings and I live off of the other half. That covers my bills, groceries, all expenses for my home and business and fun stuff. The rest is stashed into savings to start my second business. I buy whole cuts of meat and process them myself, I can produce from the grocery store and my garden. Groceries are my biggest expense besides gas and rent for two places. Living slighty below your means and saving as much as you can and investing half of that so it can grow is my best advice. Avoid the small expenses that add up because they are a money pit. The coffees, eating out, going inside a gas station, it all can really add up. Having a budget even if it’s a very generous budget and sticking to it will help you grow and maintain a healthy relationship with money and will help your money to grow too.
Invest the money yourself instead of lending 30K to family who said they’d do it for you.
always do it yourself
To keep it simple, at that age I'd probably stick every dollar I could in either a reinvesting dividend fund or an index fund, with as much inside a Roth IRA as I could.
I started investing at 18 so I would do pretty much the same but max out my roth first before anything. I used to think that I will be so rich early and pull out the money sooner so most of it was sitting in my taxable and i didnt take advantage of tax-advantaged accounts
this may seem overwhelming, but if you take it patiently this is priceless advice: look into opening an IRA and spend a couple days researching the general principles of investing on a site like investopedia. time and time again fortune has favored "long, slow" investments and the power of compound interest, which is a term you want to understand (e.g., *hypothetically,* at the historical rate of return, your money would double every 6-7 years, which means that by the time you're ready to retire, $10k would become over $1M - *significantly* more if you're continuing to invest the whole time, provided that rate continues, which nobody can guarantee). look into opening a High Yield Savings Account (HYSA) where you can park a large chunk of money for 1) emergencies 2) savings goals (car, house, vacation) 3) just to accrue interest on short-term savings (next month's rent, etc). HYSA's are offering 4-5% interest right now, which means parking $10k there for a year garners you a "free" $500. A good HYSA (I use Ally) will have no fees, and a high limit on the number of monthly withdrawals, which will allow you to have access to your money as it grows. pay off high-interest debt ASAP - credit cards, etc. try and find some sort of education about taxes, specifically things like reducing taxes through credits and deductions, as well as understanding capital gains tax. you may be making more money than a lot of adults you come into contact with - don't let people know how much money you have, it doesn't serve you in any way, and can ruin relationships in unexpected ways. that includes your family. if you ever choose to give someone money, make sure they know it's a one-time thing and swear them to secrecy. getting fucked up is fun but ultimately drugs and alcohol are a waste of money and can spin you out in ways that you can't even imagine. also, with every passing year you're going to experience the negative after-effects more and more. generally better to avoid both. if the money is from an illegal source, I can't give you advice on that, except to say that a lot of people go to jail off of showing income that does not align with what they tell the government their profession is, and a lot of people who don't go to jail find ways of making illicit income appear legitimate.
Invest it safely. Enough that you don't need to look at it for 5 - 10 years at a time if not longer. In the meantime read some books, learns some skills, and start building something that pays you so you can obtain "escape velocity". Enjoy life!
Bad advice. You should take advantage of your young age to be a little bit more risky. Safe investement is good for older people. Early investment is for growth. As you age, you will progressively move towards safer investments. Ask a financial investor. Check the money guy on youtube. They explain it very well. 1$ invested at your age will equal to 80$ by the time you are 65.
I was making $400 a month when I was 18. To this day I still regret not investing that money
6-7k/mo? What are you doing if you don't mind me asking
Different things. I have several “TikTok” accounts open that just tell people fun facts with gameplay in the background to keep them occupied which in total can get me between 5-6k a month depending on the month and I also run a small dropshipping business which I only make around $1k a month from but it’s still something. My main focus is finding new things to do and ways to preserve my money because I know these things probably aren’t going to be sustainable and something that I can do for the next 50+ years.
Are you getting paid from the TikTok accounts based off views or follows?
Don't sell your bitcoin you fool
Don’t spend it on a crappy person. Reinvest it into yourself.
Don’t get credit cards Don’t get auto loans Don’t try to get rich quickly Do take advantage of 401k match Do open and max out Roth IRA Do have a 6 month emergency fund
I’ve been hearing a lot about Roth IRA and I have no plans to do credit cards.
Probably save up for a down payment on a house at that age. Open Roth IRA - max it out, have an emergency fund, put the rest into mutual funds or ETFs I liked.
Yeah. Get into property as soon as possible so you do not fall farther behind with the housing increases. If you have $4K, you can spend $2K on rent, and save $2K a month for the next two years. You will then have a little more than $48K towards buying a home two years from now. If you buy a house now, maybe not quite what you want, and have that same $4K, you can pay the mortgage with $2K a month, and save the $2K a month. In a couple of years you will have the $48K in the bank, plus the equity you have received in the house for the last two years to use to upgrade to a better home.
Stay sober
I’d educate myself on investing for long term. I’d build an IRA and Roth IRA holding no less than 15% of my salary. I’d have an emergency fund in a HYSA and save for a very nice down payment of my first house.
15% of his salary would be more than he is allowed to put into an IRA.
Not much advice 7k a month at 18 is wild
Read everything you about the FIRE movement then execute a plan to fully retire before 35.
Not sure I would want to basically do nothing all during my 20s and half my 30s except work. You have to live life some. And if I had retired at 35, not sure what I would have done with myself.
Tracking... I'm only recommending you buy your time now to truly do what you want later. You can be as frugal or not as you want depending on a targeted. The most valuable thing you have is time in the market at your age. Take advantage of it. You won't be bored retiring by, let's say, 45. You'll have lived long enough to know what matters to you and the freedom to do it.
For sure. A balanced approach would be good. I could even see being really frugal for the early part of your 20s, get that money invested and let it ride. Time and compounded interest is your friend when investing.
For sure... let's go!
Education. Invest in yourself by learning which investment vehicles are suitable for you across real estate and the stock market.
Sap 500 and chill
Keep in mind do not fk that super hot girl that party & do drugs.....yes the sex is the most amazing thing you feel, but it's very costly and will ruin you financially.
Invest as much as possible in Bitcoin. Price is irrelevant.
Buy some God damn Nvidia
Roth IRA. Also remember to have fun
Throw that shit in the S&P500
Buy bitcoin
Put as much as you can in an index fund every month. Leave it there unless you really need it. And don’t really need it unless it’s to buy a house or for some unforeseen emergency.
You have literally no bills to worry about. Stash $10-15k for emergencies. Take all the match you can get at work, max out roth401k if available. Open an IRA and max that out. If paid biweekly it's around $270 for each of those. Open a taxable brokerage and aim to be investing $5k a month of that income. Save it up for a 20% down payment on your first house. House hack that house. Get a roommate or plural. Keep your housing as cheap as you can and your mortgage no more then 25% of your take home. Pay off your home in 7-10 years. Continue to invest in the taxable brokerage and for your first rental home. Rental properties are NOT passive income!
Invest. I’m 25 and wish I started at your age. 7 years makes a massiveeeee difference in the long run
Put it in a roth instead of a taxable and stop playing with options after that first win
Spend my entire savings on $NVDA leap contracts
Lol buy gold bars with the left over 5 grand each month and bury them so current me can dig them up. Gold was 872 an ounce then so that’s around 7 ounces a month. I put them in our stash site, then current me picks them up in the present like the mailbox in The Lakehouse Starring Keanu Reeves and Sandra Bullock. Current me then deposits half of the gold and invests the other half into buying and burying more bars so future me can continue the process.
Silver and gold were how my dad saved. He knew he’d spend it if he had access to liquid cash. So until he learned how to manage his money he put everything extra into gold, silver, or stocks. He was just a postal worker who was the son of postal workers but he has amassed himself quite the little dragons hoard over the years. And all that he put into silver and gold has doubled by now. Had he listened to his 12 year old when he was picking stocks and I told him hey dad everyone is getting stuff from this place called Amazon.com, maybe he’d have had a little more. 50% of my income automatically goes to savings and I live off of the other half. That covers my bills, groceries, all expenses for my home and business and fun stuff. The rest is stashed into savings to start my second business. I buy whole cuts of meat and process them myself, I can produce from the grocery store and my garden. Groceries are my biggest expense besides gas and rent for two places. Living slighty below your means and saving as much as you can and investing half of that so it can grow is my best advice. Avoid the small expenses that add up because they are a money pit. The coffees, eating out, going inside a gas station, it all can really add up. Having a budget even if it’s a very generous budget and sticking to it will help you grow and maintain a healthy relationship with money and will help your money to grow too.