Question: Investing $1,000 safely each month?

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Answer #1:

Try zecco.com it's probably the cheapest online American brokerage. Covered calls are a great low risk way of making money with stocks.

Answer #2:

Read the following:

How to Choose Investment Opportunities
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Answer #3:

■Good options for people with an investment window of 5 years or less are bank certificates of deposit, short-term Treasury securities and money-market accounts.
■For a great deal on CDs, shop online at bank rate.com and other financial sites.
■A good strategy with CDs is "laddering" -- buying certificates of different maturity and constantly rolling over the funds.
■Money-market accounts from online banks -- or money-market mutual fund accounts from brokerage houses -- pay significantly more than money-market accounts at traditional banks.
■If you have an investment window of 5 to 10 years, try short-term bond funds or "balanced" funds, which own both stocks and bonds.
■Tax-free municipal bonds generally are a good idea only for investors in the top tax brackets.


I use treasury direct but some of them you need to hold for a period of time or you will get charged fees. You can set it up automatic with your employer to be taken right out of your paycheck. That is what I did with Ibonds.

Ibonds - Hold for 12 months. Federal taxes not paid until bond is sold. $5,000 maximum investment per year. Inflation adjusted 2 times per year
Tips - Sell on the secondary market anytime. You pay federal taxes in the year it occurs. 5 million maximum amount. Inflation adjusted monthly

Both are exempt from state and local taxes.

Answer #4:

Talk to your bank first off, they prob have a low fee investment devision... sites like etrade and such have VERY HIGH fees beyond their trading fees. Stick with your bank.

I would start a Roth IRA first, you can put $416.15 a month into a Roth IRA and not have to mess with taxes, ($5000 a year). From there any investment you do within that shelter you will not have to pay taxes on... then stick the money in a mutual fund. IRA's are for retirement, if you save starting one till you want one you are gonna be up the creek without a paddle when its time to stop working.

With the remaining money you could leave it in a money market account or do individual stocks, but dont fall for the 200 people who are about to try and send you to some crazy scam website... talk to your bank first.





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