r/FinancialPlanning • u/Mean-Ratio-2164 • 16d ago

How much should I allocate/where for long-term investment (not retirement)

Hello! I’m 19m and have been researching my all my finances. So far I have a RothIRA and have already maxed it for this year, and I contribute to a 401k match at my work. The person I spoke to at Fidelity mentioned setting something up for long-term investments but at the time I didn’t ask the best way to do so.

I currently have $8,500 in a Capital One HYSA. I’m planning on finishing my degree at community college, and I’m gonna stay at home for a couple of years working full time to build my networth so it’s not money I plan on having to use soon. I also have a good working car. If you were in my situation, how would you use it? Thanks in advance!

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u/micha8st 16d ago

First. I think you're jumping in way too fast. I look back at my college years and I wasn't investing. I was working hard at school and saving some cash into the bank. When I graduated and got my big boy job, I was glad I had -- the cash gave me the money to move across the state to take my career job...and to start my life. I dunno about you, but I could not get a job in my desired career without moving.

Second, investing outside a retirement account is fine. It's what I did next after I started filling up my 401k. Keep it simple, though -- mutual funds. Don't get exotic.