I currently have 75% SCHD and 25% SCHG Roth IRA. Brokerage account is 35% SCHD, 40% VOO, 25% VUG! Combine balance $875k I am 48 years old... I have 100k in cash and about three years until retirement..
I lost a lot chasing individual stocks and I feel pretty silly for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market.
Nice! I'm doing some research on VOO now, seems very solid. Congrats on nearing retirement. 3 years will fly.....unless of course you hate your job lol....
Love my job. 23 years as a mechanic for a Major Airline. Great company match on the 401k. Just wish I knew about growth/dividend paying ETFs years ago but still I am performing quite well with a good CFA. It's a nice hands-off way to approach it. *Lina Dineikiene* manages my funds and she has a great team. Her recommendations and market entry and exit points have been top notch so far.
@@JoeCoIIar Great Portfolio well done on profits... I am going to borrow some of these for my portfolio! I have already built 1500 shares of SCHD (124KUSD) and just got 1113 USD dividends which were automatically reinvested for compounding interest purpose. The snowball is just taking shape…
I'm 54 and my wife and I are VERY worried about our future, gas and food prices rising daily. We have had our savings dwindle with the cost of living into the stratosphere, and we are finding it impossible to replace them. We can get by, but can't seem to get ahead. My condolences to anyone retiring in this crisis, 30 years nonstop just for a crooked system to take all you worked for.
@Alethia-q9s The crazy part is that those advisors are probably outperforming the market and raising good returns but some are charging fees over fees that drain your portfolio. Is this the case with yours too?
So far in the past few months, I’ve slowed down buying to only maybe an IPO or something I already own that has been overly beaten down. The only money I’m consistently putting into the market is through my financial advisor.
Last year a colleague introduced me to a financial advisor *PRISCILLA DIANE AIVAZIAN* With her help, I have been able to diversify by investing in different markets and asset classes while also keeping an open eye for attractive stock picks. she is quite known so you can find more about her online.
Thanks for the recommendation I found her website easily online and I’m really satisfied with her reviews and certifications, this is a much safer and easier way for me to get back in this very volatile market.
Please is she readily available? I made the regret of my life tackling this volatile market by myself now it’s been red after red. I would love to get guidance considering how bad I have messed up my portfolio.
Simple, consistent, and easy. I'm up 75% with her managing my portfolio. If you're looking for consistent gains this is an easy and amazing way to do it. As passive or active as you want and all for a great value!
I just checked out her name online *PRISCILLA DIANE AIVAZIAN* and was able to find her website, her qualification/testimonials seem solid with positive reviews. Is there a minimum amount required for her services?
I am glad to hear you say that using the Vanguard web site is a struggle. I was wondering if I was losing my mind because I always feel like I am having to relearn the site every time I log in
Hey man thank you for taking the time to do this it really helped me out. 26 years old and just opened my roth IRA! I got some catching up to do but thank you
YOU are the only man among the 1000s of money gurus that actually shows how to use the IRA settlement fund and purchasing the stocks. Everyone just screams to invest in a ROTH IRA and does NOTHING AFTER THAT. Your video was a godsend, i kid you not my Roth IRA has just been sitting for the past 5 years because i didnt know i had to trade the giant pile of money sitting in my account.
This is the best video of Vanguard funds I've seen so for. I was given helpful information that I should have gotten 3 years ago. Please need more of these wonderful presentations.
I wish more people would give this type of information. A very helpful video for me. Thank You so much for helping to open my eyes and help with my future.
Regardless of how you'd want to look at it, trading with the assistance of a reliable expert is an unrivaled advantage, not everyone is built for these ups and down both emotionally and financially.
100% agree. However, finding reliable professionals to invest your money with if often a herculean task, even if one is willing to pay for their services. If you have any notable recommendations, feel free to share.
@@carlfenechjr5017 True. Well i can only recommend my personal investment manager Leonard Bracher, he's an absolute genius, I make 4-6 figures monthly income from trading with his help, he's taking new clients/students now. But I'd need to make sure that I have his permission to leave his contact details out here.
very true, but for most people looking to get into trading, their foresight is blinded by pride, skepticism or overzealousness, only a few will take the wiser step to seek help, and definitely go on to become master traders themselves.
I'm so confused by this, so I thought I had to have 1000$ in my roth ira to start investing. I just finally got it there but do I need to now "buy funds" or will it automatically grow without me having to do anything else?
Common misconception! You need to contribute money into the Roth IRA, and then you need to buy the funds you want. The Roth IRA is not an investment, but an account to hold investments. With $1000 I’d suggest looking into ETFs which are a basket of stocks. VTI is a great diversified ETF that is the equivalent of investing into 1000s of US companies aka the entire us stock market
Thank you Sean, your videos are great, I subscribed because love the way you teach the step by step with visual. This is awesome and refreshing, really appreciate it. 🙏🙏😊
Hi Sean thanks for the video- I’m having trouble selecting which stocks to purchase for my Roth. I want to keep it simple as possible and not consistently be trading. How did you select your stocks? Is there a video for this or any advice on which ones to chose?
Hi Sean, I appreciated the insight from your video and have a few follow-up questions regarding ROTH IRAs and transferring funds from settlement accounts. Would it be possible to schedule an online meeting to discuss these further? I appreciate your help very much! Let me know.
Perfect timing! VERY HELPFUL! I just signed up with Vanguard yesterday. Not making the most amount of money right now, but even investing a little each month is better than nothing! Thanks Sean!
@@SeanLei do u suggest trading or investing?? I’ve been trading since July but recently stopped in February to focus on working and saving up money to trade with 2-3k
@@SG36090 I think both are great ways to make money. I think the biggest question is how much time do you want to spend on trading? If you’re willing to put in the time, the. It’s great. But if you want to spend more of your time on your career and hobbies then investing is the way to go
Lucky to find you. I am retired and my 401k is on vanguard, I am planning to open Roth IRA within vanguard .should I go to finance planner with vanguard or just do it myself,thank you
Hi Sean, I have a quick question about DRIP. So, I currently do not own any mutual or index funds, just about a hundred in the settlement fund that has gained some interest. Should I set up drip on my settlement fund until I can invest in a mutual fund? Or should I just leave the settlement fund alone? Thank you.
Hi Sean. I've recently opened up a vanguard account. I was wondering what type/where can I find what type of account (Roth IRA or Traditional) I chose. Thank you. BTW I appreciate you putting this together and sharing this step by step with us.
JUST SUBSCRIBED! Great video, Sean! I'm wondering, does "Automatic Investments" work for ETFs or only Vanguard's Mutual Funds? I know Vanguard's ETFs don't offer fractional shares, but perhaps they do through "Automatic Investments"? 🤔
Hey Roberto! Unfortunately you can’t get fractional shares with vanguards ETFs at least through the Vanguard platform, making automatic investments a mutual fund only feature
@@SeanLei, thanks so much! I really appreciate it. P.S. You responded faster than Vanguard! I'm currently on hold with them, but you've answered my question. Take care, stay healthy, and keep up the great work on your UA-cam channel!
Since this video they must of upgraded their site. I find the current version of Vanguard site and app really easy to use. Good help and resources on the site as well.
Very helpful guide! Im looking to open a roth ira account. As far as buying/selling stocks using your roth ira, Do the profits you gain from selling your stocks count towards your annual contribution? Also, can you buy/sell stocks whenever with the account? I wanna play long terms stocks using roth ira, but I also wanna ride the momentum to take advantage of the fluctuations to secure small time profits :) THANKS!
Sean you need to make a more in detail video on limit order and stop order. The example you gave on this video was too short and a bit confusing. Will be looking forward to that.
Hello Sean, I had some money saved and set up for 2021 and 2022 and now it looks like a lump of money, wondering if this is going to be a problem on my taxes. What form do you use for taxes to report this investment? Thanks for the video!
Thanks for this video! It has been super helpful! Noob question here. Right now I don't have $3000 to invest in the mutual fund I want. Do you know if it's possible for me to put the money in an ETF until I have the $3000 then sell the ETF and move that money to the mutual fund I want?
I really love your videos, and thank you for the info. I would like to automatically reinvest my EFTs. on Vanguard, but I don't see that possibility. Is that possible, or do I have to go into the account each month and do it myself? Thank you.
Why di you select money to move from settlement fund instead of bank account. Doesn't that add another step to add the money to the settlement fund first?
Hey great work but I’ve wondering, what’s the point of getting a Roth IRA? Can’t I just invest in the stock directly and remove the middle man? Or will I get taxed the same with my earnings without a Roth IRA if I claim my money?
The biggest reason to get a Roth IRA is to not be taxed on any of your earnings. No matter where you invest, there will always be a middle man, aka the platform whether it’s vanguard, robinhood, fidelity, etc. Set up a Roth IRA for massive tax advantages!
Hey Sean, thank you for clearing some things up. I just opened up my Roth IRA and deposited $100 to see how it works first. I tried to use those $100 to buy the VTSAX like in your video, buy it's showing that the $100 is in the Federal Money Market like the one on yours. How do I get it out of there and put it into the VTSAX? or is it already invested in whats called the Federal Money Market? I don't know what that is. Any help is appreciated brother, Thanks again.
The federal money market is the default place you transfer money to. Vtsax requires a minimum of $3000, but until you have that amount you can invest In the ETF equivalent VTI by transferring money from the money market account to VTI
Great Stuff. I started watching your videos last year as a beginner before giving stock market a trial. I was able to make $472,000 within 4 Months with a capital of $200,000. keep it up Sean!
Despite the fact that I take glory for the achievement, I honestly have to tell you, i was guided by JOANNA MALIVA LEE a broker i found through a news blog. She aided me achieve that.
Hi Sean. Thanks for the informative video. I opened my Roth IRA through Vanguard a few days ago now. I am definitely a novice investor, so I have a question: all of the money I contributed to the Roth IRA is currently sitting in the Vanguard Federal Money Market Fund (Settlement Fund). I am under the assumption that this does absolutely nothing, and the money just sits in that account not accruing interest or anything. Do I have to purchase other funds from that settlement fund? Could you shed some light on this? Thanks!
Hey Ethan, the money market account accrues a little bit, but it’ll be much better to move it into an investment like a low-cost index fund (VTI and VTSAX are great options, VTI if
So I buy etf from Roth IRA and then whatever it makes goes back into the Roth IRA account automatically? How many shares should I buy to start or per year?
You can’t automatically reinvest (DRIP) with ETFs, but can with mutual funds (low cost index fund). You could invest in ETFs until you reach $3k minimum for vanguard mutual funds
Not with vanguard, but you could buy stock if you use a platform with partial shares like robinhood or m1 (I also use m1 but I think you need a $100 minimum to start)
Hi Sean. What’s the difference between opening an account and choosing “Personal Investor” versus “Retirement Plan Participants” when opening a Roth IRA account through Vanguard?
Hi Sharlyn, my best guess is that "personal investor" is for those who have a taxable brokerage account and "retirement plan participants" is for those with Vanguard retirement accounts such as a Roth IRA.
What you’re looking for is a Dividend Reinvestment Plan (DRIP). Many brokerages allow you to do this (robinhood, m1 finance) but only if they offer fractional shares. Vanguard doesn’t offer this for their ETFs, so if you want to reinvest in say, VTI, you would have to invest elsewhere
Hey Sean, great vid, thanks for all the advice! I just opened my Roth IRA on Vanguard, and previously had a stock portfolio with vanguard. Upon opening, Vanguard asked me how much I planned to contribute for 2021 and 2022. I selected the max amount, but now it looks like they're going to draft my bank account for $12,000? I don't have that money in my bank account and was only planning on adding $500-$1,000 per month. Please advise. Thanks!!!
Technically you can still contribute to your Roth IRA for 2021 until April 15, so it sounds like it was specifying how much and for what year you’re contributing towards. When you contribute just set the year, and be sure to not exceed $6000 per year!
Can you help me understand? I opened my ROTH IRA with $100 but need at minimum to buy stocks 1,000 or 3,000. Can I invest in anything else unless I have that minimum? Or do I keep contributing to account to reach the 1k or 3k?
Do you have a video on whole shares versus fractional shares and the pros and cons of them. I was told that fractional shares were not as good as whole shares but I believe that fractional shares are better than no shares at all what are your thoughts?
I like this topic! I don't have a thorough video on this, but I'd like to turn the question over to you. Why aren't fractional shares as good as whole shares? Fractional shares offer the ability, especially for beginner investors without a lot of money, to invest in a variety of stocks. On top of that, you can set up dividend reinvestments quite easily with fractional shares. The main downside I see is that if you have fractional shares with a specific broker, the money is tied to the broker until you fully sell all of your fractional shares.
@@SeanLei I totally agree. I'm new at investing and I've been able to invest in whole shares and fractional shares and still seeing profits go up so to me I think you can have both. Best of both worlds.
Hey Sean- this is really helpful. Question for you, is there a way in vanguard to transfer some of the investments from a personal brokerage account to an IRA?
Hi! From what I've read online - Your brokerage account isn't a qualified retirement plan, so you're not allowed to transfer money to your Roth IRA like you would from another retirement plan, even if you do a direct transfer.
@@jp2836 need to jog my memory on this one! Is the Roth conversion ladder only for tax-deferred retirement accounts, e.g. Traditional IRA/401k -> Roth IRA? Since a personal brokerage is not a retirement account you can’t make the conversion with it
You’re right this site is not the most efficient. I have Vanguard right now through my job. I only have a 401k setup right now. I was hoping to enroll in the ROTH IRA tonight, but not sure where to start on the site.
Hi Sean, I opened vanguard Roth ira just 3 days ago. I trying to buy appl but can’t buy. Pop up shows.. ‘This order can't be accepted because it would exceed your current available balance.’ I have 6000.00 in my account.
Hi do you know if it is possible set up automatic investing for etf in a Roth IRA? When I follow this process the only option for deposit that I am given is to the settlement fund. Thanks in advance!
In vanguards platform it’s not possible as of now. You could manually invest in an etf until you reach the mutual fund minimum! Then you can automate it
When you do DRIP and set things to reinvest, should you reinvest your settlement fund too? What does that mean and why didn't you check the box to reinvest your settlement fund? Just started investing and I'm trying to understand everything.🙈
I think of the settlement fund as a bank account of sorts, it just holds money on the vanguard platform until I want to invest it (which for me I always want to reinvest). I set reinvesting for my index funds instead of having my index fund dividends transferred to a settlement fund (and therefore NOT invested).
Dividends are reinvested with DRIP. Capital gains are received automatically since you still own the same number of shares, it’s just that the shares are worth more. Though you don’t pay taxes on capital gains until you sell!
hey man if you can help me with this I have a question, every time I try to contribute to my IRA and Vanguard it says error when I click my account so I can’t invest in it so I’m not sure what to do
I tried opening a Roth IRA but I keep getting the response "You don't have permission to transact on any accounts" and this is insanely frustrating. Any ideas on what's going on here?
I saw you have VTIAX and VTSAX in your Roth IRA. So, the expense ratio of VTIAX is 0.11, and VTSAX is 0.04. The total of expense ratio you have to pay is 0.15. Will this expense ratio be charged every year by Vanguard?
Close! It's more like the weighted average of the two, I have most in VTSAX so I pay ~.06 every year. The expense ratio is handled by Vanguard and is taken from the fund's price. So say VTSAX grew 10.04% one year, Vanguard takes the .04% expense ratio and you would see the fund grew 10%. No extra action needed to pay the fee on your end!
I've done it from TD Ameritrade --> Vanguard for my roth IRA. Havn't done it for a brokerage account but I think it's possible. Found this link that may be helpful to start the transfer process investor.vanguard.com/contact-us/faqs/what-investment#:~:text=Your%20investments%20will%20remain%20the,recognized%20as%20a%20tax%20consequence.
@@SeanLei Thank you! I submitted an application to Vanguard and I need to mail the documents for further processing. I think it worked. I will also check out the link.
VFIAX is a great choice. What stocks to invest in is a massive question, and I share what I invest in my vanguard Roth IRA here ua-cam.com/video/LX1GYYlvkfc/v-deo.html
Sean Lei on Investing thank you for the quick reply! I originally opened the VFIAX brokerage account and then recently set up an IRA account.... I’m a bit confused on how this works though because it sounds like I could have bought the VFIAX THROUGH my IRA account instead of having them separately? I’m new to this so it would help if you had any advice on that.
@@vquito02 ah I see. You can’t transfer funds from a taxable brokerage to a tax-advantaged account like a Roth IRA due to they way they’re taxed. The way to go about it would probably be to sell vfiax, move the money to your bank, then to your Roth IRA, and buy the fund
Sean Lei on Investing thank you so much. Just one more question, is there a disadvantage of leaving it the way it is now? Basically keeping the VFIAX and then investing in other mutual funds through the Roth?
How do we invest for the previous year. Many of us cannot invest the full $6000 to our IRA because our incomes are to high, so we have to wait until we have our accountant do our taxes after the year is over and then the accountant tells us we can invest $3773 or whatever it might be. How do you choose what year we contributing the IRA for???
That’s a tricky question, one you should definitely discuss with your accountant. If you contribute over your limit, the contribution is subject to a 6% tax penalty, and more for each year you don’t correct. If you know you’re well over the income limit I’d suggest to look into a back door Roth IRA conversion
Hey Sean, I heard I can contribute to my ROTH IRA for 2020 still if I do it before the tax deadline in April. If I transfer funds to Vanguard, how do I make sure it applies to 2020 and not 2021?
I would like to invest in a Roth ira because I'm already maxing out my company's 401k, but I'm confused about how you pay the taxes. My understanding with a Roth IRA, you are investing with after tax dollars so that your investments will grow tax free. My question is, how are the taxes taken out? I have the max of $6000 to invest. Will the taxes be taken out of the $6000 when I transfer money from my bank? Or will I be taxed on top of the $6000?
It's fantastic that you are maxing your 401k! The $6000 in your bank account has most likely already been taxed. For example, If you get a paycheck from your employer for $9000, it will be taxed, and you're left with $6000 that gets deposited in your bank account. So when you contribute $6000 into your Roth IRA the $6000 is "after tax" dollars
I opened a roth ira and contributing what I can, right now I only have 300 in it, what stocks or mutual funds can I invest in? I wanted to start investing in the VFIAX but I need to have 3000 to start contributing so it denied me. I am very confused on where to begin.
Hey Sean, when you mentioned that Vanguard has a minimum of $3000 dollars, does that mean that I can only invest in the stock with a minimum of 3k or that I need $3000 in my bank account to be able to start my investments on the mutual fund?
You can only invest in the fund with a minimum of $3k, but after the 3k mark you can invest any amount you’d like! If you have $3k in your bank account you can transfer it over and start buying it
So you need the Min. first to be able to add whatever dollar amount you want to add later on? Such as min -$3k then you can add only $7 the next week? Just trying to figure this out please don't lash out on the question. thanks
It seems like Vanguard website interface slightly changed (as for February, 2021) and you cannot buy any stock with your Roth IRA directly (only Funds, they are set by default). So, you need to get a brokerage account with Vanguard to buy stocks. Am I right?
The interface has changed a bit since last year! It looks like you can't buy individual stocks through the website, but if you have the Vanguard phone app you can still purchase individual stocks / ETFs! Edit: Played around with it, you can still buy ETFs and stocks in a Roth IRA on their website. It's listed under brokerage products but it'll go to your Roth!
Next week won't be about investing, but will be on a personal finance topic brought to light by recent events. It'll be hype!
I currently have 75% SCHD and 25% SCHG Roth IRA. Brokerage account is 35% SCHD, 40% VOO, 25% VUG! Combine balance $875k I am 48 years old... I have 100k in cash and about three years until retirement..
Wooooo crushing it! Love it!
I lost a lot chasing individual stocks and I feel pretty silly for not understanding how investing works. I have a double major in economics but I’ve been trying to make sense of the market.
Nice! I'm doing some research on VOO now, seems very solid. Congrats on nearing retirement. 3 years will fly.....unless of course you hate your job lol....
Love my job. 23 years as a mechanic for a Major Airline. Great company match on the 401k. Just wish I knew about growth/dividend paying ETFs years ago but still I am performing quite well with a good CFA. It's a nice hands-off way to approach it. *Lina Dineikiene* manages my funds and she has a great team. Her recommendations and market entry and exit points have been top notch so far.
@@JoeCoIIar Great Portfolio well done on profits... I am going to borrow some of these for my portfolio! I have already built 1500 shares of SCHD (124KUSD) and just got 1113 USD dividends which were automatically reinvested for compounding interest purpose. The snowball is just taking shape…
I'm 54 and my wife and I are VERY worried about our future, gas and food prices rising daily. We have had our savings dwindle with the cost of living into the stratosphere, and we are finding it impossible to replace them. We can get by, but can't seem to get ahead. My condolences to anyone retiring in this crisis, 30 years nonstop just for a crooked system to take all you worked for.
@Alethia-q9s That's actually quite impressive, I could use some Info on your FA, I am looking to make a change on my finances this year as well
@Alethia-q9s The crazy part is that those advisors are probably outperforming the market and raising good returns but some are charging fees over fees that drain your portfolio. Is this the case with yours too?
@Alethia-q9s I will give this a look, thanks a bunch for sharing.
I didn’t know what to do after I opened an account until I found this video. So thanks for the info. 🙏
Victor Nunez that’s awesome! Happy to help
So far in the past few months, I’ve slowed down buying to only maybe an IPO or something I already own that has been overly beaten down. The only money I’m consistently putting into the market is through my financial advisor.
Last year a colleague introduced me to a financial advisor *PRISCILLA DIANE AIVAZIAN* With her help, I have been able to diversify by investing in different markets and asset classes while also keeping an open eye for attractive stock picks. she is quite known so you can find more about her online.
Thanks for the recommendation I found her website easily online and I’m really satisfied with her reviews and certifications, this is a much safer and easier way for me to get back in this very volatile market.
Please is she readily available? I made the regret of my life tackling this volatile market by myself now it’s been red after red. I would love to get guidance considering how bad I have messed up my portfolio.
Simple, consistent, and easy. I'm up 75% with her managing my portfolio. If you're looking for consistent gains this is an easy and amazing way to do it. As passive or active as you want and all for a great value!
I just checked out her name online *PRISCILLA DIANE AIVAZIAN* and was able to find her website, her qualification/testimonials seem solid with positive reviews. Is there a minimum amount required for her services?
I am glad to hear you say that using the Vanguard web site is a struggle. I was wondering if I was losing my mind because I always feel like I am having to relearn the site every time I log in
You are not alone! Once you set up automation youll rarely have to use their awful site haha
Please don’t go anywhere Sean. All of us are lucky to have found you.
Thanks for those kind words Joseph!
Hey man thank you for taking the time to do this it really helped me out. 26 years old and just opened my roth IRA! I got some catching up to do but thank you
YOU are the only man among the 1000s of money gurus that actually shows how to use the IRA settlement fund and purchasing the stocks. Everyone just screams to invest in a ROTH IRA and does NOTHING AFTER THAT. Your video was a godsend, i kid you not my Roth IRA has just been sitting for the past 5 years because i didnt know i had to trade the giant pile of money sitting in my account.
Bows the time to start! Happy you’ve found this video and have found it helpful!
This is the best video of Vanguard funds I've seen so for. I was given helpful information that I should have gotten 3 years ago. Please need more of these wonderful presentations.
Thanks Shae! Any specific topics you’d like covered?
Thank you, Sean! You do SUCH a great job explaining this complex stuff so clearly 🥰
I wish more people would give this type of information. A very helpful video for me. Thank You so much for helping to open my eyes and help with my future.
Very informative video coming from someone who just opened an account. Thank you for this brother!
Glad I could help! Happy investing
I just opened Roth IRA acc with your virtual assitance. thanks. Now I think it is in the process and will just move on from it.
Glad to hear that!
Excellent video, I was confused but now finally opened my Roth after watching this. Thanks so much!
Thanks for this video. I just opened mine now from watching this, simple and straight to the point !!
Thank you so much! God bless you! Just got yourself a new suscriber!
Thank you so much! This video was super easy to follow. I appreciate the effort you clearly put into educating people on investing!
Happy to. Glad it helped John!
Thank you, I finally learned how to set up DRIP
Thanks Sean! Coming from Robinhood, navigating the Vanguard interface seemed so confusing lol, appreciate it!
Glad You found this helpful!
Thank you Good video I couldn’t figured it out bought my 1st fund today
Congrats! What fund did you buy?
Regardless of how you'd want to look at it, trading with the assistance of a reliable expert is an unrivaled advantage, not everyone is built for these ups and down both emotionally and financially.
100% agree. However, finding reliable professionals to invest your money with if often a herculean task, even if one is willing to pay for their services. If you have any notable recommendations, feel free to share.
No Truer words have been spoken today
@@carlfenechjr5017 True. Well i can only recommend my personal investment manager Leonard Bracher, he's an absolute genius, I make 4-6 figures monthly income from trading with his help, he's taking new clients/students now. But I'd need to make sure that I have his permission to leave his contact details out here.
very true, but for most people looking to get into trading, their foresight is blinded by pride, skepticism or overzealousness, only a few will take the wiser step to seek help, and definitely go on to become master traders themselves.
@@dwightwellings I would really appreciate your help in that regard.
SECOND! Gotta open up a Roth IRA ASAP
do it do it do it
I was saying yes when you said the website is terrible. That's why I am here lmao.
I'm so confused by this, so I thought I had to have 1000$ in my roth ira to start investing. I just finally got it there but do I need to now "buy funds" or will it automatically grow without me having to do anything else?
Common misconception! You need to contribute money into the Roth IRA, and then you need to buy the funds you want. The Roth IRA is not an investment, but an account to hold investments. With $1000 I’d suggest looking into ETFs which are a basket of stocks. VTI is a great diversified ETF that is the equivalent of investing into 1000s of US companies aka the entire us stock market
@@SeanLei okay thank you so much for clarifying that!! I'm going to look into the one you suggested today! Appreciate it!
I had the same question! I'm just watching these videos to help!
@@mikalareads Thank you for asking this question because I was confused as hell too lol.
DUDE! Great freaking video! You seriously saved me a huge headache! Thank you so much for making this video!
Happy to help!
Hi Sean! Thank you so much for this video! I just made an account and was so confused on how to buy using my funds. Very helpful!
Glad I could help!
Very Informative!
Thanks for this video. My friend and I setup accounts using this! Very helpful and informative channel. Awesome work.
Glad it was helpful! Happy investing
Thank you Sean, your videos are great, I subscribed because love the way you teach the step by step with visual. This is awesome and refreshing, really appreciate it. 🙏🙏😊
So happy you found it helpful! Thanks for subbing
Hi Sean thanks for the video- I’m having trouble selecting which stocks to purchase for my Roth. I want to keep it simple as possible and not consistently be trading. How did you select your stocks? Is there a video for this or any advice on which ones to chose?
Bro this is exactly what i needed thank you!!
This was EXCELLENT! THANK YOU!
Hi Sean, I appreciated the insight from your video and have a few follow-up questions regarding ROTH IRAs and transferring funds from settlement accounts. Would it be possible to schedule an online meeting to discuss these further? I appreciate your help very much! Let me know.
Perfect timing! VERY HELPFUL!
I just signed up with Vanguard yesterday. Not making the most amount of money right now, but even investing a little each month is better than nothing!
Thanks Sean!
That’s awesome Fred! A little bit goes a long way
this actually very helpful I just open a Vanguard Roth IRA and I was completely lost like what is next.
Glad to help!
You explained everything perfectly. Thank you so much💯💯
Happy it was helpful!
@@SeanLei do u suggest trading or investing?? I’ve been trading since July but recently stopped in February to focus on working and saving up money to trade with 2-3k
@@SG36090 I think both are great ways to make money. I think the biggest question is how much time do you want to spend on trading? If you’re willing to put in the time, the. It’s great. But if you want to spend more of your time on your career and hobbies then investing is the way to go
Awesome Video! Thank you!
Jeffrey Bui my pleasure Jeffrey! Thanks for watching
Thank you for the great video.
thank you so much brothere! very helpful
This was enormously helpful, thank you SO MUCH, you made it so easy!!!!
Happy this was helpful to you!
Lucky to find you. I am retired and my 401k is on vanguard, I am planning to open Roth IRA within vanguard .should I go to finance planner with vanguard or just do it myself,thank you
Amazing video!! Thank youuu!
Great info! That helped me a ton!!
Glad to hear that kimberlie!
Hi Sean, I have a quick question about DRIP. So, I currently do not own any mutual or index funds, just about a hundred in the settlement fund that has gained some interest. Should I set up drip on my settlement fund until I can invest in a mutual fund? Or should I just leave the settlement fund alone? Thank you.
Hi Sean. I've recently opened up a vanguard account. I was wondering what type/where can I find what type of account (Roth IRA or Traditional) I chose. Thank you. BTW I appreciate you putting this together and sharing this step by step with us.
You're fantastic. Thank you for the easy tutorial.
Glad you found it helpful Calia!
JUST SUBSCRIBED! Great video, Sean! I'm wondering, does "Automatic Investments" work for ETFs or only Vanguard's Mutual Funds? I know Vanguard's ETFs don't offer fractional shares, but perhaps they do through "Automatic Investments"? 🤔
Hey Roberto! Unfortunately you can’t get fractional shares with vanguards ETFs at least through the Vanguard platform, making automatic investments a mutual fund only feature
@@SeanLei, thanks so much! I really appreciate it. P.S. You responded faster than Vanguard! I'm currently on hold with them, but you've answered my question. Take care, stay healthy, and keep up the great work on your UA-cam channel!
Since this video they must of upgraded their site. I find the current version of Vanguard site and app really easy to use. Good help and resources on the site as well.
Yes they’ve upgraded! I find it much more intuitive. I have a video with the newer updates here ua-cam.com/video/0TkmAv8KZIg/v-deo.html
thank you so much Sean! you make It so easy to understand
Happy to help!
Very helpful guide! Im looking to open a roth ira account. As far as buying/selling stocks using your roth ira, Do the profits you gain from selling your stocks count towards your annual contribution? Also, can you buy/sell stocks whenever with the account? I wanna play long terms stocks using roth ira, but I also wanna ride the momentum to take advantage of the fluctuations to secure small time profits :) THANKS!
Sep M profits do not count as contributions! You can buy/sell whenever and not be taxed on any! Great idea for both long and short term plays
@@SeanLei awesome. Thanks! 🙏
Sean you need to make a more in detail video on limit order and stop order. The example you gave on this video was too short and a bit confusing. Will be looking forward to that.
Hello Sean, I had some money saved and set up for 2021 and 2022 and now it looks like a lump of money, wondering if this is going to be a problem on my taxes. What form do you use for taxes to report this investment? Thanks for the video!
Thanks for this video! It has been super helpful! Noob question here. Right now I don't have $3000 to invest in the mutual fund I want. Do you know if it's possible for me to put the money in an ETF until I have the $3000 then sell the ETF and move that money to the mutual fund I want?
That’s exactly what I would do! That way you don’t have to wait to start investing in the total us stock market
@@SeanLei Thank you, Sean! I'll do that then. And I made sure I subscribed to your channel!
4:11 sick burn 🤣🤣
🤣
I really love your videos, and thank you for the info. I would like to automatically reinvest my EFTs. on Vanguard, but I don't see that possibility. Is that possible, or do I have to go into the account each month and do it myself? Thank you.
Unfortunately It’s not possible to auto-invest on Vanguard for ETFs, which is why on vanguards platform I buy mutual funds.
@@SeanLei Thanks for the quick response.
I like VOO and VTSAX but being 30 I’m 100% in VUG growth fund- it’s done 6x growth since 2004 compared to 4x growth for total us stock or sp500.
if you have been maxing out the account for 4 years and have 24,000 why hasn't you portfolio grown much since opening
Great video!
Thanks!
Vanguard!! Great investment choice!!
🤟🤟🤟🤟
I do not have $3,000 to invest in VTSAX so what should I invest in instead? I just turned 18 and don't have the 3k minimum
Thank you
I agree. Their website needs work
Preach!
Why di you select money to move from settlement fund instead of bank account. Doesn't that add another step to add the money to the settlement fund first?
Hey great work but I’ve wondering, what’s the point of getting a Roth IRA? Can’t I just invest in the stock directly and remove the middle man? Or will I get taxed the same with my earnings without a Roth IRA if I claim my money?
The biggest reason to get a Roth IRA is to not be taxed on any of your earnings. No matter where you invest, there will always be a middle man, aka the platform whether it’s vanguard, robinhood, fidelity, etc. Set up a Roth IRA for massive tax advantages!
Hey Sean, thank you for clearing some things up. I just opened up my Roth IRA and deposited $100 to see how it works first. I tried to use those $100 to buy the VTSAX like in your video, buy it's showing that the $100 is in the Federal Money Market like the one on yours. How do I get it out of there and put it into the VTSAX? or is it already invested in whats called the Federal Money Market? I don't know what that is. Any help is appreciated brother, Thanks again.
The federal money market is the default place you transfer money to. Vtsax requires a minimum of $3000, but until you have that amount you can invest In the ETF equivalent VTI by transferring money from the money market account to VTI
Great Stuff. I started watching your videos last year as a beginner before giving stock market a trial. I was able to make $472,000 within 4 Months with a capital of $200,000. keep it up Sean!
Wow. That's Impressive! How were you able to make that?
Despite the fact that I take glory for the achievement, I honestly have to tell you, i was guided by JOANNA MALIVA LEE a broker i found through a news blog. She aided me achieve that.
@@evelyntwilliams647 How can i reach this broker lady?
@@danielleliles8495 I just looked her name up on the internet and i got everything i need to know about her.
Thanks for sharing Evelyn! That is incredibly impressive. I'll check out Joanna Lee
Hi Sean. Thanks for the informative video. I opened my Roth IRA through Vanguard a few days ago now. I am definitely a novice investor, so I have a question: all of the money I contributed to the Roth IRA is currently sitting in the Vanguard Federal Money Market Fund (Settlement Fund). I am under the assumption that this does absolutely nothing, and the money just sits in that account not accruing interest or anything. Do I have to purchase other funds from that settlement fund? Could you shed some light on this? Thanks!
Hey Ethan, the money market account accrues a little bit, but it’ll be much better to move it into an investment like a low-cost index fund (VTI and VTSAX are great options, VTI if
@@SeanLei Sean, thanks for this incredibly useful information. Much appreciated!
So I buy etf from Roth IRA and then whatever it makes goes back into the Roth IRA account automatically? How many shares should I buy to start or per year?
You can’t automatically reinvest (DRIP) with ETFs, but can with mutual funds (low cost index fund). You could invest in ETFs until you reach $3k minimum for vanguard mutual funds
Hello Sean im from malaysia how to investment on vanguard ? thank you so much
I am new to this. Question. With $7, you can purchase a stock that is $323? higher than what you have?
Not with vanguard, but you could buy stock if you use a platform with partial shares like robinhood or m1 (I also use m1 but I think you need a $100 minimum to start)
Hi Sean. What’s the difference between opening an account and choosing “Personal Investor” versus “Retirement Plan Participants” when opening a Roth IRA account through Vanguard?
Hi Sharlyn, my best guess is that "personal investor" is for those who have a taxable brokerage account and "retirement plan participants" is for those with Vanguard retirement accounts such as a Roth IRA.
Can you set it to reinvest your dividends into an EFT or have bank auto invest into a EFTs, or is this option only available with mutual funds?
What you’re looking for is a Dividend Reinvestment Plan (DRIP). Many brokerages allow you to do this (robinhood, m1 finance) but only if they offer fractional shares. Vanguard doesn’t offer this for their ETFs, so if you want to reinvest in say, VTI, you would have to invest elsewhere
Hey Sean, great vid, thanks for all the advice! I just opened my Roth IRA on Vanguard, and previously had a stock portfolio with vanguard. Upon opening, Vanguard asked me how much I planned to contribute for 2021 and 2022. I selected the max amount, but now it looks like they're going to draft my bank account for $12,000? I don't have that money in my bank account and was only planning on adding $500-$1,000 per month. Please advise. Thanks!!!
Technically you can still contribute to your Roth IRA for 2021 until April 15, so it sounds like it was specifying how much and for what year you’re contributing towards. When you contribute just set the year, and be sure to not exceed $6000 per year!
Can you help me understand?
I opened my ROTH IRA with $100 but need at minimum to buy stocks 1,000 or 3,000.
Can I invest in anything else unless I have that minimum? Or do I keep contributing to account to reach the 1k or 3k?
Wait you answered in your new video.
You bought VTI until you reached the 3k minimum 😊
Do you have a video on whole shares versus fractional shares and the pros and cons of them. I was told that fractional shares were not as good as whole shares but I believe that fractional shares are better than no shares at all what are your thoughts?
I like this topic! I don't have a thorough video on this, but I'd like to turn the question over to you. Why aren't fractional shares as good as whole shares? Fractional shares offer the ability, especially for beginner investors without a lot of money, to invest in a variety of stocks. On top of that, you can set up dividend reinvestments quite easily with fractional shares. The main downside I see is that if you have fractional shares with a specific broker, the money is tied to the broker until you fully sell all of your fractional shares.
@@SeanLei I totally agree. I'm new at investing and I've been able to invest in whole shares and fractional shares and still seeing profits go up so to me I think you can have both. Best of both worlds.
Which option do I choose to buy index funds?
Hey Sean- this is really helpful. Question for you, is there a way in vanguard to transfer some of the investments from a personal brokerage account to an IRA?
Hi! From what I've read online - Your brokerage account isn't a qualified retirement plan, so you're not allowed to transfer money to your Roth IRA like you would from another retirement plan, even if you do a direct transfer.
Ladder conversion Roth
@@jp2836 need to jog my memory on this one! Is the Roth conversion ladder only for tax-deferred retirement accounts, e.g. Traditional IRA/401k -> Roth IRA? Since a personal brokerage is not a retirement account you can’t make the conversion with it
You’re right this site is not the most efficient. I have Vanguard right now through my job. I only have a 401k setup right now. I was hoping to enroll in the ROTH IRA tonight, but not sure where to start on the site.
That’s awesome! Hope this video provides you guidance to the account setup. Create a retirement account, specify Roth IRA and go from there!
@@SeanLei so I had to create a 2nd account? Even though I already have an account with my 401k?
@@tiffanyxdawn you’ll have to poke around the website a bit to find it, or call a representative for the answer
THANK YOU FOR THIS!
My pleasure, happy investing!
Do you recommend VTI or VOO more?
@@preproproductions8838 both are great, you could do a mix of both if you arnt too sure. I personally go with vti over voo
@@SeanLei Would you just go 10 percent on each of you’re doing the 80/20?
@@preproproductions8838 what is the 80/20 you’re referring to?
Hi Sean,
I opened vanguard Roth ira just 3 days ago. I trying to buy appl but can’t buy. Pop up shows..
‘This order can't be accepted because it would exceed your current available balance.’
I have 6000.00 in my account.
Why didn’t you reinvest your settlement fund?
Hi do you know if it is possible set up automatic investing for etf in a Roth IRA? When I follow this process the only option for deposit that I am given is to the settlement fund. Thanks in advance!
In vanguards platform it’s not possible as of now. You could manually invest in an etf until you reach the mutual fund minimum! Then you can automate it
When you do DRIP and set things to reinvest, should you reinvest your settlement fund too? What does that mean and why didn't you check the box to reinvest your settlement fund? Just started investing and I'm trying to understand everything.🙈
I think of the settlement fund as a bank account of sorts, it just holds money on the vanguard platform until I want to invest it (which for me I always want to reinvest). I set reinvesting for my index funds instead of having my index fund dividends transferred to a settlement fund (and therefore NOT invested).
@@SeanLei Ohhh, I see I see. Thank you!!
If you’re investing in VOO and VTI and on the DRIP section only dividends are reinvesting and not capital gains does that matter? Thanks I’m advance
Dividends are reinvested with DRIP. Capital gains are received automatically since you still own the same number of shares, it’s just that the shares are worth more. Though you don’t pay taxes on capital gains until you sell!
hey man if you can help me with this I have a question, every time I try to contribute to my IRA and Vanguard it says error when I click my account so I can’t invest in it so I’m not sure what to do
I tried opening a Roth IRA but I keep getting the response "You don't have permission to transact on any accounts" and this is insanely frustrating. Any ideas on what's going on here?
I saw you have VTIAX and VTSAX in your Roth IRA. So, the expense ratio of VTIAX is 0.11, and VTSAX is 0.04. The total of expense ratio you have to pay is 0.15. Will this expense ratio be charged every year by Vanguard?
Close! It's more like the weighted average of the two, I have most in VTSAX so I pay ~.06 every year. The expense ratio is handled by Vanguard and is taken from the fund's price. So say VTSAX grew 10.04% one year, Vanguard takes the .04% expense ratio and you would see the fund grew 10%. No extra action needed to pay the fee on your end!
What if I wanted to transfer my stocks with vanguard on my Android Cash app to the vanguard brokerage account, is that possible?
I've done it from TD Ameritrade --> Vanguard for my roth IRA. Havn't done it for a brokerage account but I think it's possible. Found this link that may be helpful to start the transfer process investor.vanguard.com/contact-us/faqs/what-investment#:~:text=Your%20investments%20will%20remain%20the,recognized%20as%20a%20tax%20consequence.
@@SeanLei Thank you! I submitted an application to Vanguard and I need to mail the documents for further processing. I think it worked. I will also check out the link.
TheProcess Life oh awesome! Glad you could star t on the process
I started investing in VFIAX, and then decided to open up a ROTH account to? How do I pick what to invest in?
VFIAX is a great choice. What stocks to invest in is a massive question, and I share what I invest in my vanguard Roth IRA here ua-cam.com/video/LX1GYYlvkfc/v-deo.html
Sean Lei on Investing thank you for the quick reply! I originally opened the VFIAX brokerage account and then recently set up an IRA account.... I’m a bit confused on how this works though because it sounds like I could have bought the VFIAX THROUGH my IRA account instead of having them separately? I’m new to this so it would help if you had any advice on that.
@@vquito02 ah I see. You can’t transfer funds from a taxable brokerage to a tax-advantaged account like a Roth IRA due to they way they’re taxed. The way to go about it would probably be to sell vfiax, move the money to your bank, then to your Roth IRA, and buy the fund
Sean Lei on Investing thank you so much. Just one more question, is there a disadvantage of leaving it the way it is now? Basically keeping the VFIAX and then investing in other mutual funds through the Roth?
@@vquito02 nothing wrong with that! Just be sure to max out your Roth IRA before contributing anymore to the taxable brokerage
How do we invest for the previous year. Many of us cannot invest the full $6000 to our IRA because our incomes are to high, so we have to wait until we have our accountant do our taxes after the year is over and then the accountant tells us we can invest $3773 or whatever it might be. How do you choose what year we contributing the IRA for???
That’s a tricky question, one you should definitely discuss with your accountant. If you contribute over your limit, the contribution is subject to a 6% tax penalty, and more for each year you don’t correct. If you know you’re well over the income limit I’d suggest to look into a back door Roth IRA conversion
Hey Sean, I heard I can contribute to my ROTH IRA for 2020 still if I do it before the tax deadline in April. If I transfer funds to Vanguard, how do I make sure it applies to 2020 and not 2021?
You’ll be able to select the year you want to contribute! Start the transfer process and it’ll ask you to specify the year
I would like to invest in a Roth ira because I'm already maxing out my company's 401k, but I'm confused about how you pay the taxes. My understanding with a Roth IRA, you are investing with after tax dollars so that your investments will grow tax free. My question is, how are the taxes taken out? I have the max of $6000 to invest. Will the taxes be taken out of the $6000 when I transfer money from my bank? Or will I be taxed on top of the $6000?
It's fantastic that you are maxing your 401k! The $6000 in your bank account has most likely already been taxed. For example, If you get a paycheck from your employer for $9000, it will be taxed, and you're left with $6000 that gets deposited in your bank account. So when you contribute $6000 into your Roth IRA the $6000 is "after tax" dollars
@@SeanLei thank you for the quick reply!
@@SeanLei should I max out my 401k first before going to Roth IRA?
@@dungphan7989 typically it’s best to get the full employer match for 401k, then max Roth IRA, and then max 401k
I have account with Fidelity,Can I buy and sell stock Roth IRA ?
You can create a Roth IRA account in Fidelity!
I opened a roth ira and contributing what I can, right now I only have 300 in it, what stocks or mutual funds can I invest in? I wanted to start investing in the VFIAX but I need to have 3000 to start contributing so it denied me. I am very confused on where to begin.
There’s an etf equivalent of vfiax called VOO. This tracks the S&P 500!
Hey Sean, when you mentioned that Vanguard has a minimum of $3000 dollars, does that mean that I can only invest in the stock with a minimum of 3k or that I need $3000 in my bank account to be able to start my investments on the mutual fund?
You can only invest in the fund with a minimum of $3k, but after the 3k mark you can invest any amount you’d like! If you have $3k in your bank account you can transfer it over and start buying it
@@SeanLei I see, the initial invest has to be $3k! Gotcha! :)
So you need the Min. first to be able to add whatever dollar amount you want to add later on? Such as min -$3k then you can add only $7 the next week? Just trying to figure this out please don't lash out on the question. thanks
You’re exactly right! Once you hit the $3k minimum you can invest any dollar amount
What the fee roth ira vanguard?
Thanks Sean! However every time I try to buy an index fund the page stops functions and couldn't load. Any help?
jon bartolazzi that’s unfortunate. Maybe try it with a different browser?
It seems like Vanguard website interface slightly changed (as for February, 2021) and you cannot buy any stock with your Roth IRA directly (only Funds, they are set by default). So, you need to get a brokerage account with Vanguard to buy stocks. Am I right?
The interface has changed a bit since last year! It looks like you can't buy individual stocks through the website, but if you have the Vanguard phone app you can still purchase individual stocks / ETFs!
Edit: Played around with it, you can still buy ETFs and stocks in a Roth IRA on their website. It's listed under brokerage products but it'll go to your Roth!