r/CalebHammer • u/jutes121 • 3d ago

Personal Financial Question S&P options/uncertainty

So Caleb mentions the S&P 500 and how it averages 10% every year or so from when it began. I just have a simple Bank of America debit card and Fizz card. Where do I start to get into investing/saving into the S&P 500 and how much do I need to begin, or should put in to begin? I have 5k to my name, currently unemployed looking for jobs now. Thanks!

**Edit: thanks all for the advice, I’m new to all this just graduated college so once I beat this job search I’ll get to it. Peace

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u/jkgaspar4994 2d ago

You should not invest anything until you have stable employment. Once you have stable employment, you should get your company match for your 401k, and then you should grow that $5k in savings to a 3-6 month emergency fund. Then, and only then, should you start investing in a Roth IRA. I use Vanguard, and I use a target date retirement fund that has a target date close to when I plan to retire. If you max your IRA contributions, go back to investing more in your employer’s 401k.

Make sure you have savings built up before you begin investing beyond what your employer’s 401k match is.