I'm sure there have been posts similar to this one before on this forum but I really couldn't help myself. If you were 16 years old, received decent grades, and had around $5000? What would you do with the money? What would be a good investment? I'm sure theres not much a 16 year old can invest in, however I'm interested in hearing opinions anyways. Thanks.

Get a girlfriend and buy some pizza/dvds.

Put it away in an interest-bearing account, continue to add to it and check in on it when you are about 50.

Dude thats a hell lot of money.
I would buy a motorcycle (A Yamaha YZF maybe?) and stay all day riding it I can assure you that you will never get bored plus there is a risk you could crash into something but what the hell !!!!!!!!!!!

Put it into a Roth IRA account. Add two thousand dollars a year into it.

Thats about $50 a week.

Easy money to set aside, and it adds up...

You can retire comfortably by the time you are 45.

I'm interested! How would you go about setting one up? I googled it but the topic seems kind of unclear.

Normally, I try and be helpful, but you're a moron.

Google: How do I buy roth IRAs? - Im feeling lucky.

I'll even link the very first site that comes up, just so you feel even more ashamed.

http://www.fairmark.com/rothira/howto.htm

just invest in a stocks with secular trends
MKL and ESGR are good safe ones

@ Maddict

Spend it !!

Yes, i am very serious! That is the best thing you can do and it'll be the best advice you'll get:



Remember when you were 8 and you could buy soooooooo much candy for like 5 bucks? Imagine how much candy you could buy for 50$.

Remember when you were 13 and you could buy wicked video games for 50$? Imagine how many sweet video games you could buy with 500$.

Remember when you were 16 and you could buy wicked bike for 500$? Imagine how f*cking sweet a 5000$ bike would be!

Remember when you were 25 and you could make a down payment on a house for 25.000$? Well you would have it paid off with 250.000$



Money is worth less the older you get! after high school I blew all my savings in 1 year: 11.000Euros gone on partying, chicks and drugs. Had the most amazing time of my life. Now i study mechanical engineering and have grown up! I drive a shitty car but which will be junk one day but my experiences I will keep for the rest of my life! I would do it again if i had the chance!! SPEND YOUR MONEY!!

How the hell will he ever be able to buy a house at 25 or even make a down payment if all he does it spend?

Put it in high interest savings account.

Sorry bout that. I was just reading that website and didn't get through before I posted. I'm going to spend some of it later this summer whith a couple of friends when we go to my dads place in canada . But for now I just put it in a ING Direct account and I'm hoping to set up a Roth IRA account.

Thanks for the help.

You didn't get my point. 5000$ will NOT add up to 25000$ so he won't be able to buy a house. Buy something nice that you enjoy. worry about getting the money for a down payment on a house later, when the cash flow is a lot higher. By the time I am 25 I will be making about 3000$ a month. therefore, in comparison the 5000$ are worth a lot more now than they are when he is 25, get it?


so here is what I would do If I were you:
- go to australia/new zealand for half a year with your 5000$
- buy a nice computer and a sweet mountain bike with your 5000$ and enjoy them.


if you save all that money in a savings bond, then yes, you might have 6000$ or 8000$ by the time you are 25 but that money can't produce the same standard of joy the 5000$ would today.

hope that makes it clear.


(of course all this is only true if you plan on getting a decent job and not live like trailor trash for the rest of your life :-)

I think I understand. You're saying that I might as well enjoy the money now because sooner or later I will get a higher paying job and that money will be almost nothing compared to what I will make.

That is what I would really like to do but the big problem is that as soon as I'm 18 my parents are kicking me out, no question about it and I know for a fact they aren't going to give me any money or support me.

EDIT: I also get about $130 a week from my job (I only work 2 days a week so its not bad). Would there be a worthwhile investment if I put all of that money into something? I would just cash my checks but my parents either force me to deposit them in an account I can't get to or find another way to invest my money. They want to make sure I have enough cash by the time they kick me out.

@ Maddict


Ok, i see your point and you probably want to know how the hell you are gonna move out with those 5000$?

Step 1: Save the money till you turn 18!

Step 2: Get a welders license. Yes, that is the fastest way to make a good whoop of cash!

Step 3: google the closest place to take welding classes in your area, pay 2500$ up front and BAM, 3 months later you have a job.

Step 4: get about 6 months experience with some shitty company that dooesn't pay much. (live off the other 2500$)

Step 5: go work on oil rigs for a year! They are always looking for welders! you can make about 2000$ - 3000$ a month easy! even if its hard work and 12 hour shifts!

Step 6: After a year this adventure you'll have enough cash for a decent college degree! (if you still work on the side)