Thank you. Yes I plan on maxing out the Roth every year until 60 most likely.

Compounding growth yes, not compounding interest

Hopefully at some point you make too much to quality for a Roth IRA. If so you can contribute to an IRA or SEP IRA

https://www.schwab.com/ira/roth-ira/contribution-limits

You could consider one of the Vanguard Target Retirement Funds

Yes that's what I've started mine out in. The 2055 target fund. I'm wondering if it's a little more advantageous to go VTI or VOO and no bonds since I'm ~25-30 years from retirement.

El_duderino said:

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Yes that's what I've started mine out in. The 2055 target fund. I'm wondering if it's a little more advantageous to go VTI or VOO and no bonds since I'm ~25-30 years from retirement.

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Given your time horizon, I would go all equities at this point. A number of studies have questioned the performance of the target date funds.

I agree. A young person can and should weather the ups and downs and keep contributing as much as possible

Also not a fan of bonds

txaggieacct85 said:

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Hopefully at some point you make too much to quality for a Roth IRA. If so you can contribute to an IRA or SEP IRA

https://www.schwab.com/ira/roth-ira/contribution-limits

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Be sure and advise him or her of the next step to take if this turns out to be the case.

I understand compounding dummy.

No one I know uses the word compounding when it comes to investing in the stock market.

Stock prices go up and down and have generally been on an upward trajectory over time

And yes if I invest a $1.00 and make a 10% annual return it's now $1.10.

And that $1.10 making a 10% return results in $1.21.

Investing in a stock or ETF early rather than later is generally good, but stocks don't compound the way interest compounds in a fixed investment

"The key difference between stocks and other assets classes is that stocks can compound their value while assets such as bonds cannot."
https://www.forbes.com/sites/forbesfinancecouncil/2021/11/24/the-compounding-returns-of-stocks/?sh=1a72ddcd5bb1

Wow my stocks are going to compound this morning

Barnes/txaggieacct is in here showing his idiocy again.

Mark….mental illness is a thing dude…take some of those hypothetical Cinemark profits, call the first available therapist/counselor/psycho-ward, and get help.

My Cinemark investment is now up 13.73%

Now that's some serious compounding

Monywolf said:

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one safe place said:

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txaggieacct85 said:

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Hopefully at some point you make too much to quality for a Roth IRA. If so you can contribute to an IRA or SEP IRA

https://www.schwab.com/ira/roth-ira/contribution-limits

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Be sure and advise him or her of the next step to take if this turns out to be the case.

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Yes. Free advice from someone who doesn't understand compounding is the secret to financial success.

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He doesn't understand the tax advantages of real estate either (from another thread).

techno-ag said:

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Monywolf said:

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one safe place said:

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txaggieacct85 said:

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Hopefully at some point you make too much to quality for a Roth IRA. If so you can contribute to an IRA or SEP IRA

https://www.schwab.com/ira/roth-ira/contribution-limits

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Be sure and advise him or her of the next step to take if this turns out to be the case.

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Yes. Free advice from someone who doesn't understand compounding is the secret to financial success.

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He doesn't understand the tax advantages of real estate either (from another thread).

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why don't you share your vast knowledge of the tax advantages of real estate.

I'll patiently wait for your reply

techno-ag said:

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txaggieacct85 said:

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techno-ag said:

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Monywolf said:

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one safe place said:

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txaggieacct85 said:

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Hopefully at some point you make too much to quality for a Roth IRA. If so you can contribute to an IRA or SEP IRA

https://www.schwab.com/ira/roth-ira/contribution-limits

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Be sure and advise him or her of the next step to take if this turns out to be the case.

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Yes. Free advice from someone who doesn't understand compounding is the secret to financial success.

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He doesn't understand the tax advantages of real estate either (from another thread).

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why don't you share your vast knowledge of the tax advantages of real estate.

I'll patiently wait for your reply

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Already shared my experience in the other thread, if you will recall. You disagreed, then several other real estate investors chimed in agreeing on the tax advantages of RE.

Not sure what your angle is here. Not sure you know, either.

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the fact you insulted me and then imply I have some sort of "angle" tells me all I need to know.

El_duderino said:

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What about VTI/VXUS. That's essentially what the target fund is at a 60/40 ratio, just no bonds. And covers the s&p, lower caps, and international?

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This is what I do plus a little into BNDW to get some bond exposure

Thanks. I bought VTI for now, and when I max out the year I'll throw a bit of VXUS in the mix.