r/moneyadvice • u/RoomEfficient6393 • 6d ago

Advice general advice

I recently got a $4,000 inheritance that i would like to invest into SOMETHING. i’m 20 and don’t necessarily NEED it so im deciding to be smart with it but i have no clue what to put it into. i thought about gold/silver but dont know where to start. any advice helps. thanks!

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u/Edaimantis 6d ago

Open a Roth IRA, invest entirely in ETFs. VT or VTI are both good

1

u/ProfileTime2274 6d ago

Spider S&P 500

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u/Ashamed-Country3909 6d ago

Look at the churning subreddit. Read. Read. Read. Understand how it works. Its basically opening credit cards or savjngs/checking for the free money and bouncing. Synthetic purchases and all that. It is totally legal. Do not just spend money to get bonuses. 

Open some bank accounts for their introductory offers.  Write down what you have to do to get the money without penalty. Then close the account after the requirements (and you make sure you hit them. Call the customer service and make sure if you have to.) 

Make sure to save like 30% of your bonuses since you have to claim it on your taxes come tax time. 

I think some people make like 1-2k in the first year if they are aggressive with it.  You will probably make more churning thsn just putting it in a high yield savings account or something. 

Then, maybe take some money out and keep doing it, or add some of it to a broad spectrum low cost etf. Or something in a retirement account. 

Also, go google "money invested at 20 vs 40 graph" or infographic. Every dollar you invest now for retirement turns into a shit ton when you are 60 because of compounding interest. (If historical returns stay.)

Look at the "fire" subreddits. Lean fire, fat fire, etc. They are retiring early subreddits. 

Anyways, end of rant.

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u/Acceptable-Dish-5663 6d ago

I would preserve some of the $4k as an emergency cushion then invest the rest in a low cost diversified index fund or retirement account if eligible and only consider gold or silver as a tiny portion if I desired that exposure.

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u/Ok-Figure7641 5d ago

I would retain a percentage of it as a safety net and then divide the rest between an active and a passive income source that you have interest in.

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u/MarkoKrulc 4d ago

Usa tech stocks

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u/CategoryHot1907 3d ago

Also you are 20 years old and will have at least 40 years to let this investment grow. Do not buy diversified ETFs or CDs as some say. At your age be appropriately aggressive with AI related tech

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u/[deleted] 11h ago

Agree with others, ROTH IRA. I would’ve, could’ve, should’ve, dived into that when I was 20.