Lump Sum or Dollar Cost Averaging your Roth/IRA
Many folks here are currently contributing to a Roth or traditional IRA, as am I. I have always contributed to my Roth, as well as DW's Roth, on a DCA monthly (1/12th $5000) basis. I realize that a lump sum in January is probably a better way to handle it, however if I make the contribution in Jan @ $5000 X2 and I need the cash in June for some reason then I have a bit of a liquidity problem. I can postpone June's (July, Aug etc) contribution and add it in later in the year to make up the $5000. My point is that I realize that I am probably forgoing an eventually larger total in the future for a bit more liquidity and sleep time today.
Does anyone else look at it this way, or am I the Lone Ranger on this one?
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