Individual Retirement Account Investments (IRAs)
The year is nearing an end, have you maxed out your IRA contributions for this year? $5500 a year if you are under 50 or $6500 a year is max if you are 50 years of age or older. If you haven’t yet started investing yet then what is stopping you? You have until April 15th to open your IRA or to contribute for 2017; however if you are looking to convert your Traditional IRA to a Roth IRA so that it can grow tax free then you need to get that done before the New Year. When looking for an investment professional make sure that you find one you feel comfortable with and trust and most importantly make sure that you understand what you are getting in to. Ask questions and do your homework and if your investment professional is not doing their job by answering your questions or by explaining things in a way that you are able to understand then keep looking and find someone who will.
When looking at investments make sure that you do not get caught up in investing in something you do not understand or that has a lot of hype surrounding it. You need to fully understand what you are getting into and you also need to realize that if something looks way too good or if it sounds too good to be true then it is likely that it probably is. Anytime something has a chance for a high rate of return it usually has a great chance of dropping a lot too. Don’t invest everything into a single stock or fund, but diversify your investments so that if something does drop you have other investments that will keep your portfolio better balanced.