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» You are in your early 40's and have almost no retirement. you have 2000.00? you want to put away (but still have acess to in for an emergency>

by Jeff

Best Answer -

A lot of people get into trouble by trying to combine their retirement savings and emergency funds into the same account. Don't do that.

Put $1000 in the bank.

Use a savings account that is NOT connected to your checking account, and cannot be used as overdraft protection. You want an account that you will physically have to visit the bank in order to get your money.

With the other $1000, withdraw ten $100 bills.
Get yourself a glass picture frame, and
Get it engraved to say "In case of emergency, break glass",
Put the Benjamins in the frame.

If you're in your 40's without retirment savings, you need to get started quickly. Buy "The Total Money Makeover" by Dave Ramsey.

Other Answers (5)

Open a roth. You can buy mutual funds in a roth.

With a roth, you can take out your pricinpal amount at any time without penalty. The earnings are tax deferred.

by sporrega… You could do an index fund. You could also put it in a high-interest savings account (i.e. ING Direct). Any time you put money into the stock market there is a risk of losing it.

If I remember correctly - if you put it into a ROTH you have to wait 5 years until you can withdraw the deposit (but not the gains).

by Sean D If you want money accessible for an emergency.. find a money market account. Right now a number of>

by stan c $2000.00 might not be a lot of money but it's a start. If you might need the money for emergencies, just put it in a savings account for the time being. If you could put even $5 to $10 each week or whenever, do it. Every bit counts. When my wife and I got married in 1973, we put away $15 each pay and we still add to it no matter what the amout is.

by Joe S Your first option should be to fund fully a retirement account. If you do this, and you have extra cash, then>

Tags: irs, tax

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Tags: irs, tax