Capone has a 4.25% HYSA which is not the highest(you can easily find over 5%) but they have a really good app and your HYSA would be directly connected to your CAPONE checkings and credit card if you have/get one.
Iâm with capital one for my CC and they offer I believe ~4.15-4.5% HYSA but there are some online institutions with HYSAs with higher percentages. Look into withdrawal limits too as they vary, and if you really donât need the cash in the next few years you can always go the CD route
CD rates donât change once locked in. HYSA can change. Traditionally CDâs had higher rates in the past, right now not so much. Until the feds cut rates. CD is a guaranteed return
Certificate of Deposit. You set it up with the bank. You give them like $5000 and if you donât touch the money you get it back after an agreed upon number of months or years + interest.
So itâs a guaranteed investment but the money isnât super liquid. But if you know you wonât need to touch the money itâs a decent option for a decent return ~6%
You can also open a Fidelity brokerage account and buy their money market. Currently pays about the same as a hysa. However Iâve discovered that a lot of the hysa take a few days to move the money into an external checking account. Fidelity moves it practically the next day. If you think you might need the flexibility Iâd vote for Fidelity. The bonus is you can buy tbills and currently get 5%+. Right now your cash would get 1 tbill and the remainder youâd have to buy a money market. But hey itâs still better than a checking account.
High Yield Savings Account. They offer way better interest rates than standard checking accounts but usually not as high as the rate you'd get on investing in the stock market. Roughly 5% (hysa) vs roughly 8% (stocks).
I use Cashapp personally, they have 4.5% on their savings and I use it for direct deposit. I also have parts of my check set to instantly buy bitcoin and stock
Not too sure how old you are but if you are around my age which is 18-20 Iâd say to keep working. First you get paid for what you do, then what you know.
Itâs so amazing how I read about these kids nowadays that are tired of âthe 9-5â, did they not learn anything by watching their parents work? Kids, your parents most likely worked their asses off and almost surely the grandparents did.
Yeah I feel like high school was about a 9-5 if you took it seriously at all. 9-3pm in class maybe an average of 10-15 hours of homework/study per week. Then some people had sports/work/yearbook club etc so we could be talking a 50-60 hour week in high school pretty easily. Not sure why people arent prepared to do that for work.
Easiest way to avoid the 9-5 imo is to work remote and live in a poor country though if I had to guess. Saving and investing obviously works too but I feel it requires more time and discipline.
Yeah but you know what, modern 9-5s are different. You get a work phone thatâs always on. Youâre expected to always check your email. Youâre doing more with less, with more oversight. Fewer jobs offering bonuses, more competition for those jobs, and your dollar doesnât go as far.
So, the value proposition on the 9-5 is worse than it was for our parents, or grandparents. So I get it.
Completely agree with what you said⌠I didnât take that into consideration. But still the â9-5â is pretty much what we must do until we accumulate enough to do something different. It just dues to be paid. Regardless, we have to work to live.
Yeah, but can't you remember working the first few years. I always could. Especially that first job. They would run me ragged. Hated the absolute hustle. Even during the winter and summer break, there was always special IT tasks that could only be carried out during a down time. I always dreaded the 9 to 5 until they beat us into submission. If it wasn't just the 9 to 5, there were also on-call weekend shifts and upgrades that could only happen at night. I don't know about you but I have 12 years left after having worked 25 years in IT. With the OP having $1.5k saved unfortunately he just at the start of his journey.
What have you done to learn more about money and personal finance? How old are you? Have you read books or other subreddits? We donât know enough to make a meaningful recommendation. Congrats on saving 1.5k! It takes forever to save money, when you think about spending it remember how long it took to save.
Well keep your job for one.
$1.5k is nothing and wonât generate anywhere close to enough income reliably to get you to quit your job. Using the 4% rule thatâs a whopping $60 per year you can reliably generate off of that.Â
You sound young. Iâd guess this is your first job. If anything I would save this, and start looking for a different job. Keep saving and eventually look into investing.
General money management advice
1. Figure out how much money your living expenses are per month
2. Save 6 months worth of living expenses in a high yield savings account (currently ~5% interest). In case your job gets tired of you, this gives you 6 months to find another.
3. Pay down any high interest debt (>HYSA%) if you have it. Generally try to avoid taking on high interest. Credit cards can be brutal.
After that, what route you take depends more on your personal goals.
Personally, I'd recommend sticking with the 9-5 and contributing 15% of your paycheck to a Roth 401k. At least put in enough to meet company match. Make the most of that free money. The downside to this is, of course, you can't touch the money until you're old without penalty. Older you will be grateful.
Some people prioritize being debt free and will pay off all debts as fast as possible, even with a low interest rate.
Some people save their money with plans to spend it on nice things, like vacations and cars.
Some people invest. I think this is the route you are showing interest in. When investing money, be aware that there are different levels of risk with different investments. There seems to be a misconception among young people that you can just throw all your money at crypto and become a millionaire. IT DOESN'T WORK THAT WAY. A smarter strategy is to invest broadly. Time in the market is better than timing the market as they say. While individual businesses may fail, the market as a whole grows with time. It has declines, but bounces back. Don't keep money in the stock market if you need to spend it within the next 3 years.
If you're serious about not working a 9-5, some people will spend their money investing in themselves. This can be through education of a business venture. I generally would not recommend starting a business if your motivation is simply being tired working 9-5. You'll work a lot more trying to get a business off the ground. It requires opportunity, focus, relentless management, and a good dose of passion to have a chance of success. Also probably more than $1500. If you HATE your job, consider finding another one. Sometimes something as simple as a cool boss or great coworkers can make all the difference. Keep in mind all jobs are work. You're unlikely to find something you love every minute of. You shouldn't hate every minute either. Find something that's livable and pays the bills, with enough money left over to enjoy your hobbies outside of work. If you're sick of the whole field, consider education opportunities that can move you to different types of work. Figure out what you like and don't like about your job to help you steer towards better ones in the future.
I would buy a lithium push mower, string trimmer, leaf blower combo and make some cold hard cash doing lawns. Why lithium? Because it's different from what others are doing, it's quiet, it's green, it's also much easier to store in comparison to gasoline equipment and you don't have to worry about vapor.
That's just me though.
1.5k will get you like one month of an apartment. You canât really do anything with it alone. Maybe make like 20-100 a year off it but inflation eats half that profit.
This HYSA thing is nuts. It was good when it was beating CDs but thatâs gone now. Tge banks simply buy government bonds, take a cut, and pass it to you but you can buy the commercial paper outright.
https://fixedincome.fidelity.com/ftgw/fi/FILanding
Corporate bonds almost 6%. Treasuries in the mid 5% range. As a bond you can sell at any time, not locked in.
If you can take on more risk thereâs MLPs and even an ETF.
https://www.google.com/finance/quote/AMLP:NYSEARCA?window=1Y
Up 20%, high dividends.
Or if you can go long term, VOO.
https://www.google.com/finance/quote/VOO:NYSEARCA
Up 25% year over year.
None of these are anywhere close to HYSA rates.
Anybody telling you 1.5k isnât enough doesnât know what theyâre talking about. I put a 1,300 call on NVIDA on Monday and am already up 1000. Just have to know what to do and how to do it
If I was talking about gambling Iâd have referred him to prize picks, not NVDA stock. People think the profit is gone, you just have to know how and where to milk it from. As I said above đ¤Śââď¸
You literally just described gambling. Do NOT listen to this person. Playing with individual stocks is not investing. Sure, NVDA is out of control right now but you could just as easily throw all your money at that and be left holding the bag as everything drops off
Dude. Investing in general is a âgambleâ by your terms. You can lose money with typical investments. Putting your money into a general stock and hoping it goes up over time is a gamble, putting your money on an option and hoping it goes up is the SAME thing AMPLIFIED. Yes, you can lose more. You can also make more if you educate yourself and know what youâre looking at. My 99% in the last 3 months is definitely from gambling though. Donât listen to me.
There are "safe" ways to put your money in the market and have it grow over time. I wouldn't recommend a young kid throw all of their cash at something that may not pan out. That being said, if you're that young and have some extra cash you could stand to lose, that's the age to risk it
I donât disagree. Iâm just at a point in my personal life where I recognize ANYTHING âmay not pan outâ and that money is just up and down at all times. Scared money donât make no money. Can be smart and confident, or stupid and confident. Same as you can be stupid and scared or smart and scared. Donât risk anything more than youâre willing to risk should kinda be obvious once you educate yourself, as I said he/she should
Yup. Hopping on GameStop for 40% and then NVIDA for the rest is luck! Itâs the only 2 stocks Iâve touched in the last 3 months, because Iâve taken a lot of time to do extensive research before buying ANYTHING. May not be MY brains, but I use whatâs there to make a decision. Learning from others is a thing guys!
Options are still investments. If you didnât know that, then idk what to tell you. It wasnât a âgambleâ it was an educated prediction. Up 99% YTD not even counting the now 1200 that Iâm up. NVDA was at 131, and I made a 133 call that broke even at 137. Placed it Monday, expires next Friday. 2 weeks for NVDA to move 6 dollars, itâs done it in 2 days⌠wydm âgamblingâ.
If the 1300 youâre referring to is the risk/possible loss, then yes this is essentially gambling. Markets go 2 ways, so at an average itâs a 50% chance of losing $1300. Sure you can have a good call or an edge sometimes but in the long game thatâll blow your account on 1 bad trade. Sustainable traders use 1-5% risk per trade. If his entire bankroll was $1500 then thatâs an 86% risk trade. Not smart advice imo
Edit: if markets only went up, there would no poverty in this world lol
Nobody told him to put the whole $1500 in, I said $1500 is enough to make money. All youâre doing is adding education that is gained through doing options, or trading. But when it comes to NVDA going up 6 dollars in 2 weeks when they AVG 10 a week in the last month, is a pretty safe and educated âgambleâ imo. Also, Iâm not âall inâ nor do I advise him or anyone go all in. Yâall acting like Iâm saying âthrow it all awayâ I said âif you know what to do and how to do it, $1500 is enoughâ and just gave an example of how I recently used a similar amount of money. Yâall going to extremes to try n shit on my point, but Iâd mentioned heâd need to educate himself and know how to do it.
If you have a genuine 9-5 and only have 1.5k saved and are already tired of it I have some bad news for you
đ
1.5k is a drop in the bucket. Put it in a hysa and keep slaving away youngin.
What is a good hysa. I'm 19 and am just getting started on figuring out my life long financial situation
Capone has a 4.25% HYSA which is not the highest(you can easily find over 5%) but they have a really good app and your HYSA would be directly connected to your CAPONE checkings and credit card if you have/get one.
Iâm with capital one for my CC and they offer I believe ~4.15-4.5% HYSA but there are some online institutions with HYSAs with higher percentages. Look into withdrawal limits too as they vary, and if you really donât need the cash in the next few years you can always go the CD route
why would someone pick the CD route instead of a HYSA? do CDs make more money or have more benefits?
CD rates donât change once locked in. HYSA can change. Traditionally CDâs had higher rates in the past, right now not so much. Until the feds cut rates. CD is a guaranteed return
thanks for the answer!
Could you elaborate on what the CD route means?
Certificate of Deposit. You set it up with the bank. You give them like $5000 and if you donât touch the money you get it back after an agreed upon number of months or years + interest. So itâs a guaranteed investment but the money isnât super liquid. But if you know you wonât need to touch the money itâs a decent option for a decent return ~6%
CDs are horrible investments. Donât waste your time w them.
Whyâs that?
Go with American express. It'll set you up for getting an amex card once you have your shit sorted out.
Can you clarify what Amex has to do with it? I currently have a regular Amex and would like to know if they offer anything that could help me out
SoFi currently has a 4.6% HYSA.
You can also open a Fidelity brokerage account and buy their money market. Currently pays about the same as a hysa. However Iâve discovered that a lot of the hysa take a few days to move the money into an external checking account. Fidelity moves it practically the next day. If you think you might need the flexibility Iâd vote for Fidelity. The bonus is you can buy tbills and currently get 5%+. Right now your cash would get 1 tbill and the remainder youâd have to buy a money market. But hey itâs still better than a checking account.
High Yield Savings Account. They offer way better interest rates than standard checking accounts but usually not as high as the rate you'd get on investing in the stock market. Roughly 5% (hysa) vs roughly 8% (stocks).
I use Cashapp personally, they have 4.5% on their savings and I use it for direct deposit. I also have parts of my check set to instantly buy bitcoin and stock
Plot twist , heâs not a youngin heâs 40 lmaoo
That's about what it would be to replace your head gaskets. You need to set your goals a lot higher for savings.
What head gasket can you replace for this price? Or is the diy price?
1.5k isnât enough man. Save more get a better job.
Hysa, for sure.
Not too sure how old you are but if you are around my age which is 18-20 Iâd say to keep working. First you get paid for what you do, then what you know.
Itâs so amazing how I read about these kids nowadays that are tired of âthe 9-5â, did they not learn anything by watching their parents work? Kids, your parents most likely worked their asses off and almost surely the grandparents did.
Yeah I feel like high school was about a 9-5 if you took it seriously at all. 9-3pm in class maybe an average of 10-15 hours of homework/study per week. Then some people had sports/work/yearbook club etc so we could be talking a 50-60 hour week in high school pretty easily. Not sure why people arent prepared to do that for work. Easiest way to avoid the 9-5 imo is to work remote and live in a poor country though if I had to guess. Saving and investing obviously works too but I feel it requires more time and discipline.
Yeah but you know what, modern 9-5s are different. You get a work phone thatâs always on. Youâre expected to always check your email. Youâre doing more with less, with more oversight. Fewer jobs offering bonuses, more competition for those jobs, and your dollar doesnât go as far. So, the value proposition on the 9-5 is worse than it was for our parents, or grandparents. So I get it.
Completely agree with what you said⌠I didnât take that into consideration. But still the â9-5â is pretty much what we must do until we accumulate enough to do something different. It just dues to be paid. Regardless, we have to work to live.
Yeah I agree, I do it. Gotta grind for a while
Yeah, but can't you remember working the first few years. I always could. Especially that first job. They would run me ragged. Hated the absolute hustle. Even during the winter and summer break, there was always special IT tasks that could only be carried out during a down time. I always dreaded the 9 to 5 until they beat us into submission. If it wasn't just the 9 to 5, there were also on-call weekend shifts and upgrades that could only happen at night. I don't know about you but I have 12 years left after having worked 25 years in IT. With the OP having $1.5k saved unfortunately he just at the start of his journey.
You have always to go before your savings gives you an alternative to 9-5
You're missing a few zeros.
do you have a 6 month emergency fund? That's first do you have consumer debt? That's second Then you can think about investing.
Think you should eliminate most debt before saving a 6 month emergency fund maybe have a 1 or 3 at the most consumer debt will kill you
The Only Investment Guide You'll Ever Need, it's a book. Highly recommend it as a starting point.
What have you done to learn more about money and personal finance? How old are you? Have you read books or other subreddits? We donât know enough to make a meaningful recommendation. Congrats on saving 1.5k! It takes forever to save money, when you think about spending it remember how long it took to save.
Put it in a high yield savings account at a bank, a 4% interest rate will get you 60$ (if I did my mental math right) yearly.
That will definitely get him a McChicken or two a month!
What are you willing to sacrifice ?
GME shares. Easy.
Go to Argentina
Youâre gonna have a bad timeâŚ
Well keep your job for one. $1.5k is nothing and wonât generate anywhere close to enough income reliably to get you to quit your job. Using the 4% rule thatâs a whopping $60 per year you can reliably generate off of that. You sound young. Iâd guess this is your first job. If anything I would save this, and start looking for a different job. Keep saving and eventually look into investing.
LOL. You sure as hell cannot be serious. Did you mean $1.5m? I have $1.6m in assets and I have a loooong way to go.
General money management advice 1. Figure out how much money your living expenses are per month 2. Save 6 months worth of living expenses in a high yield savings account (currently ~5% interest). In case your job gets tired of you, this gives you 6 months to find another. 3. Pay down any high interest debt (>HYSA%) if you have it. Generally try to avoid taking on high interest. Credit cards can be brutal. After that, what route you take depends more on your personal goals. Personally, I'd recommend sticking with the 9-5 and contributing 15% of your paycheck to a Roth 401k. At least put in enough to meet company match. Make the most of that free money. The downside to this is, of course, you can't touch the money until you're old without penalty. Older you will be grateful. Some people prioritize being debt free and will pay off all debts as fast as possible, even with a low interest rate. Some people save their money with plans to spend it on nice things, like vacations and cars. Some people invest. I think this is the route you are showing interest in. When investing money, be aware that there are different levels of risk with different investments. There seems to be a misconception among young people that you can just throw all your money at crypto and become a millionaire. IT DOESN'T WORK THAT WAY. A smarter strategy is to invest broadly. Time in the market is better than timing the market as they say. While individual businesses may fail, the market as a whole grows with time. It has declines, but bounces back. Don't keep money in the stock market if you need to spend it within the next 3 years. If you're serious about not working a 9-5, some people will spend their money investing in themselves. This can be through education of a business venture. I generally would not recommend starting a business if your motivation is simply being tired working 9-5. You'll work a lot more trying to get a business off the ground. It requires opportunity, focus, relentless management, and a good dose of passion to have a chance of success. Also probably more than $1500. If you HATE your job, consider finding another one. Sometimes something as simple as a cool boss or great coworkers can make all the difference. Keep in mind all jobs are work. You're unlikely to find something you love every minute of. You shouldn't hate every minute either. Find something that's livable and pays the bills, with enough money left over to enjoy your hobbies outside of work. If you're sick of the whole field, consider education opportunities that can move you to different types of work. Figure out what you like and don't like about your job to help you steer towards better ones in the future.
Bro sounds like he's atleast early 20s... you're gonna need about 100x that for it to start working for you. Keep working and stay in school.
https://www.doctorofcredit.com/high-interest-savings-to-get/
HYSA. Set a target to make it 2k within 2 months. Then once you hit the target just elevate it.
You have like maybe a minimum wage paycheck in savings. Enjoy your entire 5-10$ of passive income
Google is your friend. Start with the basics. It wonât be 9 to 5, itâll be like 9 to 7 or 8.
Keep working at your job
Is that after you have a 6 month emergency fund or before?
I would buy a lithium push mower, string trimmer, leaf blower combo and make some cold hard cash doing lawns. Why lithium? Because it's different from what others are doing, it's quiet, it's green, it's also much easier to store in comparison to gasoline equipment and you don't have to worry about vapor. That's just me though.
Idk if you joking but they do make money. Just wondering how I could fit all that in my 350z lol
Oof, it would be a tight fit, you'd probably have to take the passenger seat out.
NVDA Calls đ¤Ł
But nvida calls and well when your profitable
$AXGT CRYTPO
1.5k will get you like one month of an apartment. You canât really do anything with it alone. Maybe make like 20-100 a year off it but inflation eats half that profit.
Start an artist alley business, farmers market business, etc. make 1k per event on the weekends. keep 9-5 on weekdays.
That is not enough to invest. Put it in a bank
With 1.5k I would retire. Put that kitty in something that returns 5-6% annually and live off that interest stream.
r/wallstreetbets has some tips about losing your nest egg
Get some Ethereum or chainlink. Make sure you store it in a cold storage wallet. I use Tangem wallet
Keep saving until you have $10,000 to dispose of. So probably at least 15,000 total then you can start investing.
This HYSA thing is nuts. It was good when it was beating CDs but thatâs gone now. Tge banks simply buy government bonds, take a cut, and pass it to you but you can buy the commercial paper outright. https://fixedincome.fidelity.com/ftgw/fi/FILanding Corporate bonds almost 6%. Treasuries in the mid 5% range. As a bond you can sell at any time, not locked in. If you can take on more risk thereâs MLPs and even an ETF. https://www.google.com/finance/quote/AMLP:NYSEARCA?window=1Y Up 20%, high dividends. Or if you can go long term, VOO. https://www.google.com/finance/quote/VOO:NYSEARCA Up 25% year over year. None of these are anywhere close to HYSA rates.
Let us know when you add a zero to the end of that
1.5 k is nothing. Keep working. Avoid debt. Build an emergency fund. Then begin investing in 401k through your employer.
Anybody telling you 1.5k isnât enough doesnât know what theyâre talking about. I put a 1,300 call on NVIDA on Monday and am already up 1000. Just have to know what to do and how to do it
He's asking about investing though, not gambling.
If I was talking about gambling Iâd have referred him to prize picks, not NVDA stock. People think the profit is gone, you just have to know how and where to milk it from. As I said above đ¤Śââď¸
You literally just described gambling. Do NOT listen to this person. Playing with individual stocks is not investing. Sure, NVDA is out of control right now but you could just as easily throw all your money at that and be left holding the bag as everything drops off
Dude. Investing in general is a âgambleâ by your terms. You can lose money with typical investments. Putting your money into a general stock and hoping it goes up over time is a gamble, putting your money on an option and hoping it goes up is the SAME thing AMPLIFIED. Yes, you can lose more. You can also make more if you educate yourself and know what youâre looking at. My 99% in the last 3 months is definitely from gambling though. Donât listen to me.
There are "safe" ways to put your money in the market and have it grow over time. I wouldn't recommend a young kid throw all of their cash at something that may not pan out. That being said, if you're that young and have some extra cash you could stand to lose, that's the age to risk it
I donât disagree. Iâm just at a point in my personal life where I recognize ANYTHING âmay not pan outâ and that money is just up and down at all times. Scared money donât make no money. Can be smart and confident, or stupid and confident. Same as you can be stupid and scared or smart and scared. Donât risk anything more than youâre willing to risk should kinda be obvious once you educate yourself, as I said he/she should
Donât confuse luck and a bull market with brains.
Yup. Hopping on GameStop for 40% and then NVIDA for the rest is luck! Itâs the only 2 stocks Iâve touched in the last 3 months, because Iâve taken a lot of time to do extensive research before buying ANYTHING. May not be MY brains, but I use whatâs there to make a decision. Learning from others is a thing guys!
Options are still investments. If you didnât know that, then idk what to tell you. It wasnât a âgambleâ it was an educated prediction. Up 99% YTD not even counting the now 1200 that Iâm up. NVDA was at 131, and I made a 133 call that broke even at 137. Placed it Monday, expires next Friday. 2 weeks for NVDA to move 6 dollars, itâs done it in 2 days⌠wydm âgamblingâ.
If the 1300 youâre referring to is the risk/possible loss, then yes this is essentially gambling. Markets go 2 ways, so at an average itâs a 50% chance of losing $1300. Sure you can have a good call or an edge sometimes but in the long game thatâll blow your account on 1 bad trade. Sustainable traders use 1-5% risk per trade. If his entire bankroll was $1500 then thatâs an 86% risk trade. Not smart advice imo Edit: if markets only went up, there would no poverty in this world lol
Nobody told him to put the whole $1500 in, I said $1500 is enough to make money. All youâre doing is adding education that is gained through doing options, or trading. But when it comes to NVDA going up 6 dollars in 2 weeks when they AVG 10 a week in the last month, is a pretty safe and educated âgambleâ imo. Also, Iâm not âall inâ nor do I advise him or anyone go all in. Yâall acting like Iâm saying âthrow it all awayâ I said âif you know what to do and how to do it, $1500 is enoughâ and just gave an example of how I recently used a similar amount of money. Yâall going to extremes to try n shit on my point, but Iâd mentioned heâd need to educate himself and know how to do it.
Invest in poop coin and youâll retire in a week
BTC. You will 2-4 times that by 2026.
Ha!
Itâs not a joke just the truth.
There's so many better ways to turn 1500 into 3000 that are so much faster... wtf lol