Lux Investing
How should I invest my income tax return?
I am looking to invest my return this year, and have been looking into a few options. I plan on investing $2,000 to $3,000 and have considered 2 year Step-Rate CDs, mutual funds, and even the stock market. I also thought about an I-Bond, but I can't find a bank in my area that offers them. My goal is to start saving for a down payment on a house in a few years, so while not being TOO risky, I would like to get as much money out of my investment as possible. I am open to suggestions. Thanks.
Public Comments
- well, you could invest it in me, so I could pay in what I will owe this year! haha - just a little joke!
- real world answer is pay off credit slave cards upto 32% ROI. pay off car loans up to 9% roi. invest in ur education - visit daveramsey.com to learn hard lesosns fromothers mistakes. it is cheaper and easier. get a budget u'll have more money to invest.
- I would recommend that if you are under 30yo to invest in some life experiences that you will treasure forever and go overseas! If you are working you should have a superannuation fund that is investing in your long term future so you can play for a while then get serious about your investments when you are ready to settle.
- I-bonds can be purchased on line - treasury direct web site . but there are penalties for withdrawals in the early years. For downpayment on a house in a few years you don't want to put it in the stock market. Too many ups and downs so when you need the money a good portion of it may not be there. You don't want to invest you want to save. I would lock in a 2 to 3 year regular (not a step up)CD with the best rate since it seem as interest rates are going to go down (rate cuts do to all the sub prime mortgage problems and fear of inflation).
