17 years old, parents want me to put 6,000 in a roth ira. Should I do it?

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If you have $23,500 saved and paying for school isn’t a concern, you have *plenty* saved to make a max contribution to a Roth IRA and still move out without any worries, in my opinion. Lots of people live on their own without having ever seen $17,000 in the bank. Your parents are giving good advice. The younger you save for retirement the better. I would do it in a heartbeat. I’ve been wishing to make a max contribution but I just don’t have the cash for it.


Oh man oh man oh man oh man. Let me do a lil calculation for you. The stock market has returned around 10% historically. If you invest $6,000 today, and you keep it until you retire at 65, that $6k will become over half a million dollars. And if I was able to go back in time to when I was 17, I would do this in a heartbeat. Now picture this – if you put in $6k today, and every year from now until you retire you put $1k, you will retire with $1.6million If you put in $6k today, and every year from now until you retire you put in the full $6k, you will retire with around $7million. That’s the power of compound interest. and the earlier you start, the more you make.


Do it. 6K in the long run is NOT A LOT OF MONEY. EVEN THOUGH, I know, IT FEELS LIKE IT IS. Your relationship to money over the years is going to change. Just like when you were younger and a car ride felt like it lasted forever…? Do it. Invest it in something like VOO or something. And let it continue to grow. (Plus, keep investing into that ROTH every year for more returns. PLUS learn about the tax benefits of it.) But seriously, your parents are really doing a great job. 🙂 They’re not forcing you. Which is amazing. But they are encouraging you to become a responsible adult. 🙂 (Also, 17,500 is still a nice chunk of change.)


There’s almost no downside to putting $6k in a Roth. The odds of you looking back at 30yo and saying “man, I wish I had waited longer to start investing” are super low.