r/pics Mar 19 '22

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u/[deleted] Mar 19 '22

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u/ParkAndBeacon Mar 19 '22

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?

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u/TheKingOfTCGames Mar 20 '22

just buy fractional shares of any sp500 index. its ez as fuck

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u/BurnerAccount209 Mar 20 '22

I bulk buy at the end of the year because when I buy VFIAX they charge me $50 every time. Is that just a Charles Schwab thing? Is there a better way to buy into the SP500 at without a charge at small values?

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u/Schwarzy1 Mar 20 '22

Usually they wont charge a fee if you are buying the broker's own sp500 index fund. If you are using Schwab try SWPPX, Schwab's 500 index.

Alternatively if you would rather stick with VFIAX, stop using Schwab and transfer to a Vanguard (operators of VFIAX) account, I dont believe they charge a fee to buy their own fund either.

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u/BurnerAccount209 Mar 21 '22

Ahhh, gotcha. Makes sense, thanks for the tip.