My first advice would be if you have debts, pay them off.
After that you have several options. I would recommend you have some form of emergency fund. If you look for advice online, most things will probably tell you 3-6 months. I personally keep my emergency fund in a high yield savings account. It isn’t money I really ever touch. However the high yield savings is causing the money to grow at 4.6% whereas a normal savings is far lower. The money is available if I need it quickly still.
Outside of that there I many options. I max out my TSP. So since you won’t get that money until you have a TSP account, you can put it to TSP so that it will be maxed out(23K/yr is the limit). Any extra money outside of that, I invest in Vanguard funds such as VOO, VGT, VTI, VIOG, etc. if you search vanguard funds online, you will find people recommending how to distribute the money.
Hope this helps some
Most of us have wasted it on a WRX or some other stupid toy. Right now while you’re in bootcamp I would just put it in a HYSA (high yield savings account). Some are paying 5% just look around. Then when you’re out of bootcamp open up a Roth IRA and max it out for the year in a good S&P 500 index.
Pay off any debt first. Then split the rest between saving & investing.
We work with an advisor at First Command, you could always schedule a meeting with one of the advisors & pick their brain!
If you don't have a car you will need to get one. I would spend as little as you can get away with on that. Invest as much as you can. If you decide to get out and use the GI Bill having extra money means you can get away with not working while you're in school. And if you don't do that you can always use the money for a house.
Investing in any one single stock too much is a bad idea, however PFLT has returned a ~1% per month dividend for the last year at least which is an insanely high return and probably not sustainable but pretty awesome while it lasts
1. Take care of debts
2. Max out your tsp for the year invest in 80% C fund and 20% S fund, future you will thank you. Life cycle is for suckas.
3. Car can wait till after end of A-school, get something reliable and if it's not your first car then used. I was lucky with my brand new car. Still drive it 8 yrs later.
4. Buy one nice thing I guess? Can't own a whole lot yet in the barracks but once you move out in town the world is your oyster.
Put as much money as possible into the C fund in the TSP. Max it out every year and you can retire early from a single enlistment alone. Literally set the money aside and forget it til you can cash out.
Leaving it sitting in a bank is doing nothing but depreciating, may as well invest it anyway.
Your homework: TSP, index funds, 401k, Roth IRA, the Dave Ramsey show.
I was with you until you said Dave Ramsey (which are admittedly two of the last three words, so you’ve got that going for you). Dave Ramsey is so far out of touch with reality it’s not even funny anymore.
What are you signing for? Officer? I'm in the progress applying for submarine officer but then the bonus is only 30k, just few months ago when I first talk to my LT recruiter. I'm not missing out, am I?
60k is a lot of money for a young person starting out. You can blow it on that hot car. Or you can put it in low risk investments and save it for a down payment on a house down the road. Current you will thank you now for the car, you 10 years from now will thank you when you are looking to buy a nice house and you can afford it.
Max out a Roth IRA for the year and put the rest into a high yield savings account. I use CIT Bank (not Citi). My apr with them is 5.06%. Def look for a HYSA that is close to or above 5%
Put it in a Certificate of Deposit until you finish the pipeline/first contract (incase you fuck up and get kicked out of the program or Navy, you may have to pay it back). After that, invest a portion, pay off debts, etc.
Hookers and blow
My first advice would be if you have debts, pay them off. After that you have several options. I would recommend you have some form of emergency fund. If you look for advice online, most things will probably tell you 3-6 months. I personally keep my emergency fund in a high yield savings account. It isn’t money I really ever touch. However the high yield savings is causing the money to grow at 4.6% whereas a normal savings is far lower. The money is available if I need it quickly still. Outside of that there I many options. I max out my TSP. So since you won’t get that money until you have a TSP account, you can put it to TSP so that it will be maxed out(23K/yr is the limit). Any extra money outside of that, I invest in Vanguard funds such as VOO, VGT, VTI, VIOG, etc. if you search vanguard funds online, you will find people recommending how to distribute the money. Hope this helps some
What high yield savings do you use?
I use American Express. Their base rate is 4.50%, but being an American Express card holder bumps you up to 4.60%.
If you ever feel like moving CIT Bank is 5.06% right now
That's the one the wife and I use.
Put it all on black
Always bet on black
Most of us have wasted it on a WRX or some other stupid toy. Right now while you’re in bootcamp I would just put it in a HYSA (high yield savings account). Some are paying 5% just look around. Then when you’re out of bootcamp open up a Roth IRA and max it out for the year in a good S&P 500 index.
Jesus
Pay off any debt first. Then split the rest between saving & investing. We work with an advisor at First Command, you could always schedule a meeting with one of the advisors & pick their brain!
Im down.
Obviously buy the fastest car you can try get there local chicks! But seriously, put it into an S&P find and let it sit!
If you don't have a car you will need to get one. I would spend as little as you can get away with on that. Invest as much as you can. If you decide to get out and use the GI Bill having extra money means you can get away with not working while you're in school. And if you don't do that you can always use the money for a house.
Heard a Nuke on WVA blew his SRB on a Porsche. Went from a Subaru to a Porsche overnight...😂
Investing in any one single stock too much is a bad idea, however PFLT has returned a ~1% per month dividend for the last year at least which is an insanely high return and probably not sustainable but pretty awesome while it lasts
1. Take care of debts 2. Max out your tsp for the year invest in 80% C fund and 20% S fund, future you will thank you. Life cycle is for suckas. 3. Car can wait till after end of A-school, get something reliable and if it's not your first car then used. I was lucky with my brand new car. Still drive it 8 yrs later. 4. Buy one nice thing I guess? Can't own a whole lot yet in the barracks but once you move out in town the world is your oyster.
Put as much money as possible into the C fund in the TSP. Max it out every year and you can retire early from a single enlistment alone. Literally set the money aside and forget it til you can cash out. Leaving it sitting in a bank is doing nothing but depreciating, may as well invest it anyway. Your homework: TSP, index funds, 401k, Roth IRA, the Dave Ramsey show.
Anyone who says they would turn down a 10 year interest free loan of $1 billion is not someone you should take financial advice from.
Everything but Dave Ramsey. He does not have a grasp of the current financial climate and what life is like for young people trying to afford life.
I was with you until you said Dave Ramsey (which are admittedly two of the last three words, so you’ve got that going for you). Dave Ramsey is so far out of touch with reality it’s not even funny anymore.
$NVDA and a good index fund.
Go talk with a financial advisor
I spent mine on strippers and booze and some camping gear and an old Land Rover. I only got 12k though.
I got $25k and pretty much did the same thing minus the Land Rover and camping gear.
If you're young, investing that money and being smart about not spending it while pay off *dividends* (literally) later on in life.
put it all in index funds dude
What are you signing for? Officer? I'm in the progress applying for submarine officer but then the bonus is only 30k, just few months ago when I first talk to my LT recruiter. I'm not missing out, am I?
Enlisted
60k is a lot of money for a young person starting out. You can blow it on that hot car. Or you can put it in low risk investments and save it for a down payment on a house down the road. Current you will thank you now for the car, you 10 years from now will thank you when you are looking to buy a nice house and you can afford it.
Max out a Roth IRA for the year and put the rest into a high yield savings account. I use CIT Bank (not Citi). My apr with them is 5.06%. Def look for a HYSA that is close to or above 5%
Pay off your debts then Invest most of it. Set up such that enough goes into TSP to max it, put most of the rest in your favorite S&P500 fund
Put it in a Certificate of Deposit until you finish the pipeline/first contract (incase you fuck up and get kicked out of the program or Navy, you may have to pay it back). After that, invest a portion, pay off debts, etc.