Where to save to retire early?
Where can I save money so that I can have access to it well before the age of 59 1/2? I am 24 and have saved up quite a bit in my 401K and Roth IRA, but I would like to possibly retire as early as 50, or maybe even sooner.
Public Comments
- Anywhere you like as long as it's not in a tax advantaged account. You would use the same type of investment choices that you use to fund your IRA. Stocks, mutual funds, real estate, etc. would all work. I would continue to max out my Roth contributions though. Then in later years if you find that your needs are greater than anticipated, or you live longer, you will be prepared.
- Open a brokerage account. (This is the first step) I will design a retirement plan for you for FREE after that. (I am a Portfolio Manager) With my plans you can retire at 45 but you need to make a few sacrifices for a few years.
- You can take out the contributions (since they are already taxed) at anytime after you have the ROTH IRA open for 5 years. Its just the capital gains, interest, & dividends earned that you have to wait until 59 1/2 for. The second location is a regular taxable brokerage or mutual fund account. Don't be afraid to pay capital gains taxes, the more taxes you need to pay just means the MUCH more money that investment has made for you.
