I currently do not have any earned income, so a retirement fund is out of the options. I'd rather not invest in stocks, or ETF, etc, because I do not want these accounts to be considered when applying to schools through FAFSA. Is there an way to invest my money (or something you see that is the best use for the money) that will set me up for the future, without having it be considered assets for FAFSA? any responses are much appreciated.
I am 16, and will receive 15000 dollars from a grandparent. How can I best grow this money for the long-time future, without having any current earned income?
by inpersonalfinance
Posted by [deleted]
3 Comments
You can put it in a high yield savings account for the next couple of years until college starts and then can transfer them to stocks and ETF investment accounts. This is probably the safest option and it’s only a couple of years so I would not put it in anything right now that would need more than a few years to grow a little or even have the ability to liquidate. You should only put in somewhere you can liquidate whenever until you decide a long term plan for the money.
You can also consider putting it away in special accounts if available that may help you buy a home in the future.
I would suggest converting it into the currency of a more stable country. Talk to a financial planner about it.
Everyone’s gonna give you investment advice like you’re prepping for retirement or a mortgage. But let me give you some unconventional advice:
At age 16 the best investment you can make is in yourself. Spend some money on your education. Buy books and read them. Get extra tutoring and help prepping for college applications. Buy a musical instrument and pay for lessons. Pick a physical exercise activity you enjoy and buy the equipment and training you need to get really good at it.
I can’t tell you exactly what the best way to invest in yourself is. I’d go with what I was passionate about but everyone’s different and gets motivated by different things. But as someone who is pushing 40, the ~$70,000 (highly optimistically) gain you could get by safely investing that and not touching it until my age is basically chump change compared to the doors it could open into your possible futures as a teenager.
To be clear I’m not saying to go blow it on something stupid. But if you’re really motivated and can follow through on your investment, it’s worth it to invest in yourself. You will carry the skills, knowledge, body, and habits you form now through the rest of your life, and those things can become all but invaluable.