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How much should I be putting in my IRA?
I just opened a Roth IRA and plan on making biweekly contributions. I make about $1300 every 2 weeks and I the max contribution for a Roth IRA under the age of 59 is $5500. That would be $230 a check and I can’t do that. Would $50 or $100 every 2 weeks suffice?
12 Answers
- AmbistomaLv 72 years ago
$50/week is far better than nothing. But you haven't told us what your Roth IRA is investing in. An index or managed mutual fund? CD? Savings account? Some pay far greater returns than others.
- StephenWeinsteinLv 72 years ago
$50 or $100 every 2 weeks for 40 years is only $52,000 - $104,000. That's not enough to retire.
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- John AldenLv 72 years ago
Do as much or as little as you can handle. Saving even a little is better than nothing...
- JudyLv 72 years ago
Put in as much as you can. Any amount will add up, especially if you have a long time until retirement.
- Trivial OneLv 72 years ago
What will suffice depends on a number of factors. Do you have a pension? Does your employer offer a 401(k). If so, do you participate? At what level? Does your employer contribute? At what level? How far away from retirement are you? Do you have other savings?
If $100 a paycheck is all you ever put away, and the only other retirement income you'll have is Social Security, that won't be enough. But if that's all you can afford to do now, that's much better than nothing. Start with something and put at least half of every future raise you get towards additional savings.
- ?Lv 72 years ago
Depends on what company you opened it with. You'll have to check with them to see what the minimum contribution is. Some have a $50 minimum, some have $100.