Minimum limits - Roth

[teejayevans]

Ok, here is the problem:
You make too much money to invest the maximum to a Roth IRA ($4000).
Lets assume your max is $2000. Both Fido and VG have a minimum limit,
and $2000 isn't enough, what do you do?
TJ

[Olav23]

Can you throw more towards the 401k? I think T Rowe Price has a lower limit, if you're willing to go a little more active management. You could always transfer in the future after you build it up.

[justin]

VG Star Fund at $1000.

Or, wait till Jan 1 - Apr 15 2008 and make two $2000 contributions at the same time, totaling $4000.

[SecondCor521]

Quote:

Originally Posted by teejayevans Ok, here is the problem: You make too much money to invest the maximum to a Roth IRA ($4000). Lets assume your max is $2000. Both Fido and VG have a minimum limit, and $2000 isn't enough, what do you do? TJ

Vanguard has a $1,000 minimum on the STAR fund (VGSTX). You could start with that fund and then when the account gets past $3K you could roll it into any of the other Vanguard funds.

2Cor521

[Deetso]

With Fido you could do the "simple start" plan- minimum $200 a month deposits. If you set it up they will waive the minimum amount requirement.

Then just set up your monthly deposit amount to not exceed your limit for deposits in a year.

Then come January (and every year after) you can fill it as you would like.

[teejayevans]

Quote:

Originally Posted by SecondCor521 Vanguard has a $1,000 minimum on the STAR fund (VGSTX). You could start with that fund and then when the account gets past $3K you could roll it into any of the other Vanguard funds. 2Cor521

Thanks, I think that will work. Option 2 would be just to call them up, and
since I have money in other accounts, ask them to wave the minimum
requirement. Some things you just can not handle via the web site.
TJ

[Goonie]

Quote:

Originally Posted by Olav23 I think T Rowe Price has a lower limit, if you're willing to go a little more active management.

You can open a Roth IRA at TRP with (I believe) $100...IF you use the automatic asset builder, which is merely an automatic monthy balance transfer from your bank account. That transfer can be as low as $50 per month.

That's why I chose TRP when I first opened my Roth IRA. I didn't have a big chunk of $$ to put in at the time, and they didn't require one! And it doesn't require much attention at all.....Set it, and forget it!

As Deetso said,

Quote:

Then just set up your monthly deposit amount to not exceed your limit for deposits in a year.