First 2017 Roth contributions made

[disneysteve]

One major downside to retirement accounts, (e.g. 401Ks, Roth IRAs) is once the money is invested in the accounts, it isn't portable or liquid.

That's kind of the point. They are RETIREMENT accounts. They aren't "start a new business" accounts or "buy real estate" accounts or "go to Hawaii" accounts.There's nothing wrong with doing those things but you should be saving for them separate from your retirement savings.

And, as already noted, you CAN withdraw Roth IRA money any time for any reason without penalty unfortunately.

[greenskeeper]

And, as already noted, you CAN withdraw Roth IRA money any time for any reason without penalty unfortunately.

Why is that a bad thing? It's your money put aside after taxes. If you want to withdraw before the retirement age so be it, but assume the consequences.

Perhaps everyone's "emergency fund" should be funded through a roth IRA so that you can grow the earnings for retirement but have the deposited funds available for an emergency???

[bennkar]

I just sent $1,000 to each of our Roths. That's the first money I've put in this year. We ran into some cash flow issues in December because I had miscalculated how much we'd owe for tuition so that messed things up a bit. Everything is back on track now so it was time to start feeding those accounts. Since we're both over 50, we get to put in a total of $13,000/year so $2,000 down, $11,000 to go.

That's a good start. I did my usual $6500 contribution the first week of January, though the money is still sitting there. The market has gone up too much to make me happy to buy anything at the moment.

[Outdoorsygal]

Not true. I can withdraw my Roth contributions at any time without penalty or tax. I cannot withdraw any earnings before 59.5, but the contributions are readily available. A lot of people use a Roth as their EF for this very reason.

You're lucky. I cannot withdraw my Roth401K or traditional since our work plan rules won't allow it.

[QuarterMillionMan]

For me it's just a matter transferring $6500 (51 yrs old) from my $80,000 emergency fund into my Roth IRA which I plan to do in March, after my Las Vegas trip on Feb 28 for 5 nights. In the past I consistently invested in physical gold/silver in my Roth IRA but this year with Trump at the helm and I'm feeling optimistic, I'll stop getting gold/silver and go with US equities.

Edited to add: I'm watching Warren Buffet on Squawk Box on CNBS live with Becky Quick and Warran is saying stocks are cheap with the current interest rates.

[Outdoorsygal]

For me it's just a matter transferring $6500 (51 yrs old) from my $80,000 emergency fund into my Roth IRA which I plan to do in March, after my Las Vegas trip on Feb 28 for 5 nights.

Good for you. I'm jealous!

Edited to add: I'm watching Warren Buffet on Squawk Box on CNBS live with Becky Quick and Warran is saying stocks are cheap with the current interest rates.

Thanks for the tip. I am going to youtube it

[disneysteve]

For me it's just a matter transferring $6500 (51 yrs old) from my $80,000 emergency fund into my Roth IRA

I probably could do that, but choose not to deplete the EF that way. Unlike some, I don't consider the Roth to be part of my EF. I'm not touching that money for anything short of a total catastrophe prior to retirement.

I do go that route usually to fund my SEP-IRA, though. I have a taxable brokerage account and my SEP with the same company. When my accountant tells me how much I can put in the SEP for 2016, I will just transfer the money from the taxable account.

[corn18]

Just put $12k ($6500 me $5500 DW) into the tIRA's. Waiting for the funds to clear to roll over to the Roths.

Life is good.

[StormRichards]

Maxed out both of our Roth's this morning. The remainder of DH's bonus will just sit in savings until we address an out of the ordinary expense that we yet to know the $ impact. Hoping there will be something left over to put in our taxable account.

[cypher1]

Going to max mine for 2017 this Friday. Just waiting for money to be transferred to checking account from EF.

[LuckyJB]

I just sent $1,000 to each of our Roths. That's the first money I've put in this year. We ran into some cash flow issues in December because I had miscalculated how much we'd owe for tuition so that messed things up a bit. Everything is back on track now so it was time to start feeding those accounts. Since we're both over 50, we get to put in a total of $13,000/year so $2,000 down, $11,000 to go.

ok question for you....
I am in the process of opening my Roth IRA now. I have the minimum amount of 1,000 to invest and I want to do a a bi weekly contribution.

My dilemma I am bouncing back and forth with is using the 1,000 to put towards a $5,200 student private loan I opened x 1 year ago. The interest is %11,24! ouch and I originally opened it up for $4,600. Interest accumulated I know but I am ready to tackle this and pay off now.

Soooooo.....should I just contribute until I reach the 1,000 and start off with $1,000 to the IRA and use the 1,000 towards the loan??

I can also always add more over the next couple months to the IRA to reach that minimum.

I was going to start with Vanguard Target date fund. VFIFX

[bennkar]

ok question for you....
I am in the process of opening my Roth IRA now. I have the minimum amount of 1,000 to invest and I want to do a a bi weekly contribution.

My dilemma I am bouncing back and forth with is using the 1,000 to put towards a $5,200 student private loan I opened x 1 year ago. The interest is %11,24! ouch and I originally opened it up for $4,600. Interest accumulated I know but I am ready to tackle this and pay off now.

Soooooo.....should I just contribute until I reach the 1,000 and start off with $1,000 to the IRA and use the 1,000 towards the loan??

I can also always add more over the next couple months to the IRA to reach that minimum.

I was going to start with Vanguard Target date fund. VFIFX

I would pay off a 11% loan first. Yeah it would be nice to start investing but that is way too much to be paying in interest.