Re: Re: Roth IRA question

>When you say "Once you max out the Roth IRA" do you mean the $3500 per
>year limit?  So max it out each year and then crank my 401(k) back up
>as much as I can afford?
>
>What books do you recommend?

Definitely contribute as much as the law allows you to contribute to your Roth
IRA every year. I thought it was still $3,000 this year. If it has gone up to
$3,500 I didn't realize that. I try to plan my year in advance so I know how
much I'll be able to contribute to my 401k at a constant level rather than
waiting until the end of the year and cranking up the contribution. Of course,
if you get toward the end of the year and realize you can afford more than
you're contributing, by all means increase it. Many people contribute to a Roth
IRA in much the same way (i.e. monthly contributions), but I have always just
made a lump sum contribution to make it easier.

As far as books, the two I found to be most helpful were  Common Sense on
Mutual Funds by John C. Bogle and A Random Walk Down Wall Street by Burton G.
Malkiel. These are not books for "aggressive" investors who want to try to time
the markets and get rich fast. The basic premise of both books is that, over
time, the best and most effective way to invest for retirement is to identify
low-cost funds with solid credentials and park your money there for the long
haul.