Need Help!

I am really inexperienced in investing and I need some suggestions on what is the best route. I am currently 30 and I average saving around $12,000 a year excluding 401k which I max out contribution.

I also have two young boys that I want to start college funds for. What are some suggestions? I currently have my money in a regular savings account which sucks.......

 

Depends on your tax situation. Seriously. I think the 529 plans are pretty damn good for most...except for Meat...he's old money.

I put money in 2 of them every month.

Go here.

Good place to stash cash for college

 

Get an advisor and be careful of advice given on a messageboard.

 

Scratch off tickets. Nuff said.

 

529 are great. If you've got 2 kids and are still saving $12000 a year, you're doing better than me.

 

Yes, but if you are investing that $12k per year in a savings account at 1% interest, you're losing money over the years just from inflation...

I'm a big fan of the lifecycle mutual funds - buy into a fund that targets a retirement year and just forget about it. They start off investing in higher return but more risky areas, then move towards more safe investments as you near the retirement age.

529's are goodness for the kids.

Get that cash, at least part of it, out of the savings account...you're killing yourself. A bozo saving $3k per year will likely outsave you over the long haul if they get an 8% return on their money vs. the 1% you're likely getting...

 

I've looked into these but it seems they become less aggressive much to soon. Maybe I just haven't found the right one yet.

 

VA49er, that is what I have seen too. They are so concentrated on not losing money that they move out of stocks way too early. Unfortunately, that will mean some people will be hurting come retirement time because their money hasn't even beat inflation the last 10 years or so.

I'd rather someone learn about mutual funds, IRAs (Roth or regular), etc. and invest themselves. You will be much more focused on your own retirement than some goober in a cubicle.

 

I agree, so I bought into ones targetting about 10 years beyond when I really want to retire .

 

Ah, good point. Any penalties for pulling the money out earlier then? Not sure how these things work since I didn't go with one.