What Do I Know About Investments?
Thus far in my financial plans have involved attempting to pay my bills on time each month. My major investments include buying the family size ketchup with the pump to save three cents an ounce (Laugh, but I use a lot of ketchup.)
Since I have crossed over into my late twenties, the reality of retirement age, plus my lack of savings has loomed. The difference in perception between when I started working at nineteen with 46 years until traditional retirement, and today with 38 years until I'll turn 65 is much larger then the literal number of years that has passed.
My problem is not sheer the frivolousness of youth. The reality is that any time I've begun to save something had happened that required money right now.
One thing I have done faithfully since I turned 21 is take advantage for 401K plans when my jobs have offered. I was with Payless long enough to be fully vested, so I got to keep the money the company contributed.
At my current job, I contribute 5% of my income. The company matches exact for 3% and half on the 4th and 5th percent. So, for my trouble I get 9% of my income put away for later. I doubt it will make the journey to retirement with me, but it's a comfort to know the money it there.
While I am smart enough to calculate the value of saving money for my future, I am clueless when it comes to attempting to grow the money I save. I keep my 401K account with the automatic settings and lowest risk.
Hedge funds? Sounds like I'm trying to buy shrubs.
Stock? Very useful in making soup.
When I attempt to watch the financial programs on Fox News, I feel like I'm already priced out of the market. All the information on how Microsoft and Coke are doing isn't going to help someone who has the price of one share of an important stock to invest. Where is the show "Investing for the broke and ignorant?"
The print media is little better, plus the latest news from an issue of a monthly mag is weeks old. Don't stocks trade every day? I'm confused enough without learning outdated information.
It turns out there is a Web 2.0 solution to my need for timely information and basic advice on the world of investing. Like everything else in the Internet revolution, MyWallSt.net is powered my the interaction between real people. The difference is that all the people are invested in the common goal of sharing information on making money through investments. Profiles are divided into professional and non, so it's easy to figure out who to befriend. A broker if you want a stick tip. A real estate agent if you want info on flipping a house.
Where else can you openly ask questions of someone involved with the field without them billing you for their service?
There's even a stock market game to try your hand at with the information you've learned.
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