My refund check came!

[jamesA]

Too bad I wasn't home to sign for it. But oh well, I work across from the post office so I can walk over and get it tomorrow.

Couldn't be a better time to get this money back either. My mortgage is due, my registration is due, my license is due for renewal on the 9th, and I'm behind on my cell phone (local company + going to texas = doubled the bill thanks to roaming and using it)

Anyway, I'm going to pay some things with it, then take half of it and put it somewhere (perhaps my bank account until I can find a way to invest that) and take the other half of whats left and invest it... but I can't remember what everyone was saying I should invest it into. Not a CD or a small interest savings account, but something else.

When I was talking to my insurance agent, she couldn't think of the name of it either.

 

[eg6sir]

how much is it?? $4XX .. you talk like its several grand

 

[jamesA]

I know, I gotta start somewhere. If I can put 200 into something and accrue some interest I can build it up.

Sorry, I don't make 80k a year, having 1000 in my bank account is a post tax refund thing only for me.

 

[nootrac22]

When I was talking to my insurance agent, she couldn't think of the name of it either.

money market, roth ira, mutual fund?

 

[totalburnout]

With a sum of $200, you're better just putting the money in a high interest savings account.

Its a different story if you tend to invest $xxx every paycheck, but if you're planning to just invest $200 for a single time, the returns are going to be pretty worthless.

 

[reckedracing]

returns will be dismal, but if you can add $50 a week, it'll grow quickly
$50 a week and in 1 year you have $2600

ING direct had the highest normal savings rates
not sure if they have a minimum though

 

[totalburnout]

returns will be dismal, but if you can add $50 a week, it'll grow quickly
$50 a week and in 1 year you have $2600

ING direct had the highest normal savings rates
not sure if they have a minimum though

I'm not sure if there's a minimum or not. I have an account, so if I were to send him a referral and he deposited a minimum of $250, ING would give him an extra $25.

ING DIRECT - Save Your Money!

If you're going to sign up for that, let me know and I'll send you a referral, so if you deposit $250 you get that extra $25.

And yes, the point about $50 a week or $200 a month was the idea that I was getting at, its fairly worthless to invest a single sum of $200 but if you develop a plan to deposit $100 monthly then by the end of a year's time you have built something significant. Whenever I sit down with a client, I try to explain this idea. For those who have trouble saving, forced saving plans may be a good idea, as well.

 

[Bob Vila]

Do you still rock an analog phone? Since when are there "roaming" charges in existance???!!!?!?!

 

[reckedracing]

not a nationwide plan?

when we went up to canada last week i got "CANADA ROAM"

awesome...

 

[totalburnout]

Do you still rock an analog phone? Since when are there "roaming" charges in existance???!!!?!?!

Depends on carrier.

Most of the carriers went to national coverage without roaming charges within the last two years, but its possible to have an old contract or an inexpensive contract that has "local callling" only.

When I was with the old at&t wireless a year ago, they were still offering local plans that had more minutes than national plans for an equivalent price. The local plans didn't have the mobile 2 mobile a.k.a. "in" type unlimited calling, though.

600 minutes for $39.99 for a local plan, when you don't usually travel outside of a 3 state radius, isn't that bad. ^_^

 

[reckedracing]

i still have a digital plan from 2002

 

[TeinGirl]

Do you still rock an analog phone? Since when are there "roaming" charges in existance???!!!?!?!

ha... yes I believe he does! I didnt even know the name of his provider

 

[B16]

I know, I gotta start somewhere. If I can put 200 into something and accrue some interest I can build it up.

Sorry, I don't make 80k a year, having 1000 in my bank account is a post tax refund thing only for me.

You're better off going to Vegas and putting that $200 on Black, on the roulette table. I don't know how much you're expecting to make off $200 by investing it anywhere.

 

[posol]

for 200 bucks, you're better off making a double payment on your car. the interest saved is probably more than the interest earned.

 

[B16]

for 200 bucks, you're better off making a double payment on your car. the interest saved is probably more than the interest earned.

Good point. I would do that.

 

[Black Widow g2]

always bet on 27 at the roulette table. every time i walked by a table, 27 would hit. i don't get it.

 

[jamesA]

Do you still rock an analog phone? Since when are there "roaming" charges in existance???!!!?!?!

Thats the thing that pisses me off the most. This is a local carrier that covers Indiana, Michigan, Illinois, kentucky Wisconsin and parts of ohio.

I'm going to pay off my balance on this carrier and I'm switching to Verizon. I don't want to go with sprint again, but one week of roaming doubled my monthly bill in June.

 

[jamesA]

You're better off going to Vegas and putting that $200 on Black, on the roulette table. I don't know how much you're expecting to make off $200 by investing it anywhere.

Turning it into 1000+ isn't the point. even if it's interest of 10 bucks a month, it's my growing money without doing any work. I'm not sitting here thinking that I can turn 200 into 5000 in a year. I just want something out there, if possible, that I don't have to work to be able to grow.

 

[totalburnout]

Turning it into 1000+ isn't the point. even if it's interest of 10 bucks a month, it's my growing money without doing any work. I'm not sitting here thinking that I can turn 200 into 5000 in a year. I just want something out there, if possible, that I don't have to work to be able to grow.

There's such thing as a "meaingful doable number". What that means is choosing a number, that fits within your budget, to invest on a monthly or annually basis, this number needs to be significant enough to have an impact on your financial future.

$200 as a one time investment, is not a meaningful doable number. That $200 will need to make 5% anually, post tax, to even hit $10. If you put that money into stocks, its good and you should build upon it but the returns are in proportion with the risk, in both the kind of investment you choose and the amount of money you choose to invest.

Stick it in an ING Savings account. Get $250 and then start a new account, you just made $25 for free + the highest national interest rate on a savings account.

Savings account - short term
Stocks, Mutual Funds, Money market - short/med term
Life insurance, 401k, IRA - long term

Sit down with an advisor, or read up and learn yourself and create a budget where you can set aside $xxx.xx monthly. $100 a month isn't a bad start. Diversify a portfolio, by setting a portion of that money aside for a variety of investments. Spread that money across investments that are short term, medium term, and long term until you've developed a strong portfolio and are financial secure enough to invest larger, more significant sums.

Once again, you're not going to turn $200 into anything meaningful and Brian's right, paying off debt is a better investment than trying to earn a percentage on investing that money.

 

[jamesA]

Ok, sorry I simply asked for the name of what I'd talked about with Jeffie, Brian and all you non-question answering asshats previously... This isn't about monthy contributions, this was simply about something I could talk to someone locally about and you're giving me the same stuff they're giving me, which I didn't ask for and don't want.

So nevermind.