How do you recommend I start saving at 24 years old?

I am a 24-year-old female with a full-time internship and earning $23/ hour. Going forward, I hope to make $70,000 a year. How should I start saving and investing my money to consolidate my position financially?

Investing, Starting Out, Women & Money
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July 2017
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I applaud your decision to start investing early.  Since you are currently working in an internship, you may want to consider opening a Traditional IRA or Roth IRA account.  The Traditional IRA is funded with pretax money.  Contributions are deductible from your gross income and it grows tax-free until funds are withdrawn.  Upon withdrawal, taxes are payable. 

A Roth IRA is funded with aftertax money.  Contributions are not tax-deductible, but the funds contributed grow tax-free and no further taxes are payable upon withdrawal.  Either type of IRA would be appropriate for you.

If you are investing on a regular basis, you might begin with approximately equal contributions to VTI (Vanguard Total U.S. Market exchange-traded fund) and VXUS (Vanguard Total International Market exchange-traded fund).  These would give you exceptionally broad diversification as well as the opportunity to participate in the investment benefits of worldwide economic expansion.

Vanguard's telephone number is 877-662-7447.

Good luck!

July 2017
July 2017
July 2017
July 2017