I have lurked on this site and found the people very knowledgeable and decided to see if I could get some advice on the best places to invest.
I am 57 yrs old and at present am taking care of a parent of which I receive a monthly tax free stipend from the state. Since this money is tax free, I assume that it is not considered earned so that I cannot invest in an IRA, correct??
Presently I am invested 55% stock, 30% bond and 15% cash. It is the cash portion I am not sure what to do with. I have it all in a checking/savings account earning nothing. I really do not need all that I have in it, since my expenses are relatively low. I am looking to move about $40k and want it grow as much a possible. I was thinking of increasing my bond allocation, but that means in a taxable account since it wouldn't make sense to do tax free seeing that my only income is dividend income and that comes to about $10k/yr Am I correct on this?
What are my best options with growing this money? I would like it to be tax deferred if possible since I would like to keep my income down for the health care subsidy, but at the same time I do not want to be sacrificing as much growth as possible even if it means I pay more for healthcare.
Again, just looking for the best options.
Thank you
I am 57 yrs old and at present am taking care of a parent of which I receive a monthly tax free stipend from the state. Since this money is tax free, I assume that it is not considered earned so that I cannot invest in an IRA, correct??
Presently I am invested 55% stock, 30% bond and 15% cash. It is the cash portion I am not sure what to do with. I have it all in a checking/savings account earning nothing. I really do not need all that I have in it, since my expenses are relatively low. I am looking to move about $40k and want it grow as much a possible. I was thinking of increasing my bond allocation, but that means in a taxable account since it wouldn't make sense to do tax free seeing that my only income is dividend income and that comes to about $10k/yr Am I correct on this?
What are my best options with growing this money? I would like it to be tax deferred if possible since I would like to keep my income down for the health care subsidy, but at the same time I do not want to be sacrificing as much growth as possible even if it means I pay more for healthcare.
Again, just looking for the best options.
Thank you