Good evening all,
I'm 19, a full-time student, and a delivery driver. As a student on scholarship money, I get fairly large refund payments back from the University. I also have a structured settlement from a dog attack that I get large payments back for. On the advice of my uncle, who has been dealing with money for many years, I opened an investment account with Ally to invest my money into mutual funds and good paying dividend stocks. I have a long-term savings account set up with Ally as well to save with a good interest rate.
I have a checking account and a savings account with a local bank that I use for day-to-day operations, and I use this savings account as my emergency fund due to the liquidity of the money in it. I can move funds to my checking account instantly in times of need.
So it sorta looks like this:
Checking - Local Bank
Short-Term Savings (Emergency Fund) - Local Bank
Investments - Ally
Long-Term Savings - Ally
Now as my life is starting to stable out, I'd like to set up an retirement savings plan so that I can just put money away and let it grow. My uncle recommends an IRA with Ally since my investments are with Ally and my long-term savings account is with them. My question is, how should I proceed? Should I even worry about this at this time in my life? What are the limits to a Roth IRA and can I even legally contribute to it at this point?
I appreciate any input.
