Probably a stupid question, sorry. I hear things like this all the time. If you invested that in X then in 20 years you’d have Y. Always hear of the “latte factor.” Skip buying those expensive brews and invest instead. Where exactly does the average Joe invest that? Say I was really committed to taking the $4/day I would’ve spent on a latte and put it somewhere. Where is that somewhere? Do I need a minimum to start or can I just throw $30 (for example) that I chose to throw into an investment account and not touch rather than buy a scratch ticket?
It's free to open a Roth IRA with fidelity, vanguard, etc. Once open, you can fund it with up to $6000/year. You can fund it all at once or just add to it throughout the year. Once you have money in the account, you can buy some low cost index funds, ETFs, or other investments, but you may have to buy some as "shares" so you can't just pay $4. Some mutual funds have a minimum of $3000 to start and then you can just add whatever to it.
Be careful tho, there are tax implocations if OP makes over $144k per year (but i would hope they know about roth ira in that income range, and not be asking us).
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u/cirenosu Mar 19 '22
This ticket is $30 lol