What is a good investment for $10 000?

Using $10,000 in savings to invest or pay down debt is a financially savvy decision. A few of the best investment options include increasing your 401(k) contribution and opening an IRA or 529. Using your savings to make additional payments on your mortgage may make financial sense.

How much should I be saving in my 20s?

Many experts agree that most young adults in their 20s should allocate 10\% of their income to savings. One of the worst pitfalls for young adults is to push off saving money until they’re older.

How much will you have invested in stocks by age 65?

But if you invest the same $10,000 at age 25 in S&P 500 index funds producing an average annual rate of return of 10\%, you’ll have $452,592 by age 65. That’s more than 20 times as much as you would have if you invest the same amount of money in CDs!

Should you put 10000 dollars in the bank or invest it?

So if you don’t have an emergency fund to pay for large, unexpected expenses, you might want to put that $10,000 in the bank. Or if your goal for the cash is short-term — a down payment for a house, next year’s vacation — there’s another reason not to invest it.

What is the best investment for a 20 year old?

Investing in Your 20s: Best Investment Ideas for Young Adults 1. Invest in the S&P 500 Index Funds As a young investor, your investments should be concentrated on growth-oriented… 2. Invest in Real Estate Investment Trusts (REITs) Real estate is another growth-type investment strategy, and you…

How much money do you need to invest in index funds?

Index funds, a type of mutual fund, typically have an investment minimum, but $10,000 is more than enough to buy into several. ETFs are a kind of index fund that trades like a stock. You buy them for a share price — that’s the minimum investment — and it could be as low as $50. » Want to know more?