Investment funds - company offering vs personal

Hi Jeremy,
Not sure how I came with your IG, but is very instructional.
I have a Roth IRA and 401k through my jobs… I don’t earn that much but have them set to make the max match the companies offer.
I also would like to open an investment fund but one that is not attached to my retirement age.
Would you recommend that? if so, which would be a good fit I’m quite comfortable being “risky” or better stick with the retirement age!? My understanding is that ETFs are more taxable friendly?
I’m not sure if it make sense!?
Thank you!!!

Hey @Adrianarm!

So an IRA is an Individual Retirement Account. I’ve never heard of one being offered through an employer. You may have the option of a Roth 401k or Traditional 401k though. Sometimes people refer to a Roth IRA as just a “Roth” which can then be confused with a Roth 401k. SO CONFUSING. This little chart might simplify it:

That said, I would ask why you want to invest outside of those tax advantaged accounts? Anything you plan to spend with 5 years likely shouldn’t be invested. Keep that in a savings account so it’s ready to spend without risk of volatility. Anything over 5 years, you should take advantage of every penny of tax break the government is willing to give you. I get that you don’t want your money “locked up” until you’re 59.5. But if you have SO MUCH MONEY that you can retire well before that age, but it’s all “locked up”. That’s what I call, a good problem to have. And there are ways to get at that money.

So money you’re saving to spend in the near future: Savings account. Everything else: Retirement account.

Link to the ways to access money before retirement. I found this helpful to bookmark! Hopefully I’ll have this good problem!

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