Retirement accounts
Retirement may seem like light years away, but saving now will pay off if you take advantage of the tax-free benefits of a Roth IRA. This type of retirement account is widely regarded as the best all-around investment vehicle because, for most people, all earnings can accumulate tax-free.

Any student can start an IRA right now with as little as $50 at any bank or stockbroker’s office. But there’s one catch to any type of IRA: a person must have a job and either possess a W-2, a 1099 wage statement, or a tax return for the year of investment. Tax deductible contributions are limited to $2,000 a year. For more information on the Roth IRA, visit www.fairmark.com/rothira.

Government bonds
U.S. Savings Bonds—as in safety that is backed by the government —may be a better way to go for the timid investor because they provide more incentive to hold on to them. EE-type bonds can be purchased for as little as $50 and are guaranteed to double in value by the maturity date. Certain bonds—such as Series HH bonds —make interest payments every six months. For more information on bonds, call 1-800-USBONDS.

So it is possible to become an investor even if you’re collecting the change from underneath the couch seat cushions. It just takes a bit of ingenuity, a lesson in investing, and a lot of patience.


invest in a club|

The UF Student Investment Club meets regularly to discuss stock market investing and offers students an opportunity to invest their own money. The risk is low because members pool their money in order to buy stocks that are too expensive for the average student to purchase alone. For more info, log on to: grove.ufl.edu/~sic/.


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