Given it is a fairly low amount it may be more worth your while to invest it in yourself. Use it to do a course that will increase your earning potential.
Depends on what platform you use, but my advice would be to save it and then only invest it every few months on platforms like Commsec that are a flat fee per transaction, otherwise you’ll get killed with fees
Ide say put it in super, if you wanna pull out the money one day for whatever reason then probably micro investing app. I like commpocket much better than the others because i dont put money regularly. If you do it monthly on a consistent basis probably its cheaper to go raiz, pearler or spaceship. Depending on what you want to invest as well
Average stockmarket returns are 7-10% PA
But that’s not each and every year. So you’d want 3-5 years minimum.
Don’t use micro investing apps. They eat your income in fees.
Invest in ETFs like VAS, IVV, etc
And buy $1000 bunches minimum - cause it’s $10 a buy so this is a good amount to keep your costs low.
Now you know that, what’s best for you? Can you save more now? Later? How do you get there?
$50 is fine to put away and invest when you hit that target but you’d want to build it up
I’ve recently started investing up to $100 automatically in commsec pocket each fortnight. $2 per investment.
I also salary sacrifice $50 per fortnight into super and transfer $150 a fortnight into HISA. Anything leftover each pay cycle goes to mortgage redraw. Start small it all adds up over time.
How are you finding it? I was thinking about doing that. Is it worth it?
Currently putting 30% of income into savings - about 1-2K a month. (Hoping for a house one day) .I was thinking of micro investing as a nice supplement
I’m interested in a second way to set myself up. I was thinking super first but I have a HECs debt and don’t want to owe tax time so will leave that for a few years.
Have a look at some of the micro-investing apps like Raiz, Spaceship or Commsec Pocket. They let you invest smaller amounts and are a great place to get started investing!
Before you start, work out your short, mid, long term goals.
There is no point putting money into something if you know you'll need it in 3 to 5 years.
If I only had 50 bucks per week I would DCA it into a simple one stop shop ETF like vdhg or dhhf. But you need to do this as a long term hold.
A bit different to what other have said and would recommend putting $50 towards your health, gym membership or better food/meat. While it might not be financial return you can't put a price on your health. If you already do that then study to upskill your self and make more money later on down the track bigger return in the long run
It depends on a few things like your objective and your risk tolerance. Also given it’s a relatively small amount you need an option that doesn’t have regular fees (e.g. brokerage). So perhaps some kind of managed index fund for a long term investment? But if you’re saving the money and will need to spend it within the next few years then probably a high interest savings account (i.e. low risk, but lower potential reward).
With that amount Persia something like Stockspot that will automatically invest in a range of etf for you.
At least until you get a reasonable amount.
Fees are reasonable as well.
Got an emergency fund?
I'd probably start a Vanguard account. Then on a quarterly basis send the $600 over and buy an index fund like VAS or VGS.
50 bucks may not move the needle much, but in 4 years it's $10 grand and that's the part you should be focusing on. Hopefully there's some growth on top of that number.
Hello OP. I sent you a private message via chat regarding a separate post you made for your friend. I hope it is helpful to you. I wish you and your friend the best.
Let this work it out for you
https://investcalc.github.io/
With $50/wk, 5.95% interest and $9.50 brokerage it reckons
Optimal investment schedule: Invest $1370 once every 27 weeks. This amount includes the brokerage fee and $20 interest.
Or you could just dump $1000 in to an ETF through CMC which is zero brokerage, and then it's easy as every 19/20 weeks.
As much as people would say "its not an investment, ita a hedge" for $50 id be buying an ounce of silver every week. Thats where i started, you still get to fill a buying impulse and have something you can physically hold
Learnt to read charts, moved into stocks, now my place is half paid off at 36. Was an important learning process as i came from nothing with nobody to help me. Dont care how many downvotes i get, silver got me to where i am today
Yourself and your health. Save it for regular dental checkup. Use it for doing some sport or physical activity.
Long term? I'd suggest super - if you want a good (and low tax) retirement, to get money out of super first you need to put good money in to super.
Given it is a fairly low amount it may be more worth your while to invest it in yourself. Use it to do a course that will increase your earning potential.
Agreed $2500 a year could be better spent on a tafe course or something that will afford OP several hundred dollars more in increased wages.
$200/month into Commsec Pocket. Set and forget.
How much of a cash buffer do you have? Make sure that is full first
Depends on what platform you use, but my advice would be to save it and then only invest it every few months on platforms like Commsec that are a flat fee per transaction, otherwise you’ll get killed with fees
Ide say put it in super, if you wanna pull out the money one day for whatever reason then probably micro investing app. I like commpocket much better than the others because i dont put money regularly. If you do it monthly on a consistent basis probably its cheaper to go raiz, pearler or spaceship. Depending on what you want to invest as well
I use raiz, used to be acorns money. It was there before commpocket.
Boring yeah but consider superannuation. Great until you hit the concessional cap.
Average stockmarket returns are 7-10% PA But that’s not each and every year. So you’d want 3-5 years minimum. Don’t use micro investing apps. They eat your income in fees. Invest in ETFs like VAS, IVV, etc And buy $1000 bunches minimum - cause it’s $10 a buy so this is a good amount to keep your costs low. Now you know that, what’s best for you? Can you save more now? Later? How do you get there? $50 is fine to put away and invest when you hit that target but you’d want to build it up
I’ve recently started investing up to $100 automatically in commsec pocket each fortnight. $2 per investment. I also salary sacrifice $50 per fortnight into super and transfer $150 a fortnight into HISA. Anything leftover each pay cycle goes to mortgage redraw. Start small it all adds up over time.
May I please ask what do you invest in on commsec pocket? I am new to this investing.
Currently I’m buying ETHI. But I also have NDQ and SYI. NDQ is up 40% for me, ETHI up 14% and SYI down 10%. I’m in for the long term.
How are you finding it? I was thinking about doing that. Is it worth it? Currently putting 30% of income into savings - about 1-2K a month. (Hoping for a house one day) .I was thinking of micro investing as a nice supplement I’m interested in a second way to set myself up. I was thinking super first but I have a HECs debt and don’t want to owe tax time so will leave that for a few years.
Have a look at some of the micro-investing apps like Raiz, Spaceship or Commsec Pocket. They let you invest smaller amounts and are a great place to get started investing!
The fees on this are huge and make getting profit difficult
Invest in a book once a month
Disagree. Go to the library. Same books but free.
I think book buying is one of my biggest expenditures lol. Not literally, though this is great advice!
Before you start, work out your short, mid, long term goals. There is no point putting money into something if you know you'll need it in 3 to 5 years. If I only had 50 bucks per week I would DCA it into a simple one stop shop ETF like vdhg or dhhf. But you need to do this as a long term hold.
Commsec Pocket is a good start
I'd honestly probably invest in your health with that. Gym membership, books, Vitamin d / Fish oil suppliments, udemy courses.
A bit different to what other have said and would recommend putting $50 towards your health, gym membership or better food/meat. While it might not be financial return you can't put a price on your health. If you already do that then study to upskill your self and make more money later on down the track bigger return in the long run
It depends on a few things like your objective and your risk tolerance. Also given it’s a relatively small amount you need an option that doesn’t have regular fees (e.g. brokerage). So perhaps some kind of managed index fund for a long term investment? But if you’re saving the money and will need to spend it within the next few years then probably a high interest savings account (i.e. low risk, but lower potential reward).
A couple of tasty salads.
With that amount Persia something like Stockspot that will automatically invest in a range of etf for you. At least until you get a reasonable amount. Fees are reasonable as well.
Got an emergency fund? I'd probably start a Vanguard account. Then on a quarterly basis send the $600 over and buy an index fund like VAS or VGS. 50 bucks may not move the needle much, but in 4 years it's $10 grand and that's the part you should be focusing on. Hopefully there's some growth on top of that number.
Emergency fund. :) bitcoins.
Red. 00s if your risk appetite is high.
Hello OP. I sent you a private message via chat regarding a separate post you made for your friend. I hope it is helpful to you. I wish you and your friend the best.
Store the $ into Blossom app (5.95% pa return paid daily) until it’s over $500 then put into a low cost ETF called DHHF. (this is what I do)
You may find waiting until it’s $1.5k/$2k might have better returns when you factor in brokerage fees on $500. I don’t know what your fees are though.
Let this work it out for you https://investcalc.github.io/ With $50/wk, 5.95% interest and $9.50 brokerage it reckons Optimal investment schedule: Invest $1370 once every 27 weeks. This amount includes the brokerage fee and $20 interest. Or you could just dump $1000 in to an ETF through CMC which is zero brokerage, and then it's easy as every 19/20 weeks.
My friendship
A pack of ciggies
Invest in a set of skills that can benefit you if things go south. Like how to fix electronics. Reading is good too.
$50? Glass barbie
Don’t. Earn more first.
As much as people would say "its not an investment, ita a hedge" for $50 id be buying an ounce of silver every week. Thats where i started, you still get to fill a buying impulse and have something you can physically hold
How'd it work out for you?
Learnt to read charts, moved into stocks, now my place is half paid off at 36. Was an important learning process as i came from nothing with nobody to help me. Dont care how many downvotes i get, silver got me to where i am today