Do you have them? I don’t, unless you count a high yield savings account as an investment (hint: you don’t).
T has decided to take an industry job for the summer, rather than focusing solely on his research. This does mean a bit more money, but he’s mostly doing it to help him figure out his long term career path. He’s due to get his offer letter sometime soon, and suddenly, he’s much more interested in our finances. As stereotypes predict, he immediately gravitated towards learning about investments and long term planning, while I’m usually most interested in shorter term budgeting.
This summer we’ll have two real incomes to work with for the first time ever, and he wants to start adding some non-retirement investments. I’m fine with the idea, though my tentative plan was to just keep saving cash until we had some idea of what our longer term plan was. (Are we moving next year? If so, where?) Still, we are currently maxing out all our tax sheltered retirement accounts, so maybe it is time to try something else.
But I’m not sure where to start. We don’t have a timeline for the investments, so how do we pick our risk/return level? Where do we invest? Vanguard/Fidelity? How much should we allocate for this as opposed to cash?
I think we’ll make the decision once we see his offer. How do you decide how much cash is enough, and when you can take on a little risk in your savings?