Hi,
First off, it's a pleasure to be in a room full of people with a shared mindset. I am in my mid 20's and fantasize about retiring early. I have recently taking a step towards this ultimate goal. I opened up a ROTH IRA in Nov. of '07 and only contributed $3,400. I plan to max out every yr. I have also opened up a taxable investing acct. to accumulate wealth. I have set up automatic contributions of $100 p/mo. for this acct. I have an emergency account of $1000 which I'm also building up.
A quick breakdown of my finances:
INCOME: $2900 after taxes p/mo
EXPENSES: (incl. rent,utilities,CC,etc.) $1,300-$1,600
Roth IRA (T. Rowe-Total Equity Index Fund): I only have $3,400 so far. I'm contributing $400 every
month.
INVESTING ACCT.: (T. Rowe-Capital Appreciation Fund): I only have $100 so far in this account. Every month I'm contributing $100.
EMERGENCY FUND: $1,000 . I throw left over cash here.
** What would you guys do differently? Should I diversify more? Should I be investing more aggressively (increase from $100)? Any type of advice that would help me retire in my 40's would be appreciated. Thanks for taking the time to read.
First off, it's a pleasure to be in a room full of people with a shared mindset. I am in my mid 20's and fantasize about retiring early. I have recently taking a step towards this ultimate goal. I opened up a ROTH IRA in Nov. of '07 and only contributed $3,400. I plan to max out every yr. I have also opened up a taxable investing acct. to accumulate wealth. I have set up automatic contributions of $100 p/mo. for this acct. I have an emergency account of $1000 which I'm also building up.
A quick breakdown of my finances:
INCOME: $2900 after taxes p/mo
EXPENSES: (incl. rent,utilities,CC,etc.) $1,300-$1,600
Roth IRA (T. Rowe-Total Equity Index Fund): I only have $3,400 so far. I'm contributing $400 every
month.
INVESTING ACCT.: (T. Rowe-Capital Appreciation Fund): I only have $100 so far in this account. Every month I'm contributing $100.
EMERGENCY FUND: $1,000 . I throw left over cash here.
** What would you guys do differently? Should I diversify more? Should I be investing more aggressively (increase from $100)? Any type of advice that would help me retire in my 40's would be appreciated. Thanks for taking the time to read.