As you go through life, you’ll have various financial goals — and to help achieve these goals, you may want to match them with appropriate types of accounts or investments.
For example, if you want to save for a down payment on a house, you’ll need a certain amount of money at a certain time, which means you won’t want to take on too much risk. So, you might want to consider certificates of deposit and money market accounts or other cash equivalents.
If you have children, and want to help them pay for higher education, you could consider investing in a 529 education savings plan, which offers tax advantages.
Achieving a comfortable retirement is one goal you should always be working toward. For this goal, you’ll want to take advantage of your 401(k) or other employer sponsored retirement plans. You might also be eligible to contribute to an IRA.
Here’s one final point to keep in mind: While some investments are appropriate for certain goals, they may not necessarily be suitable for your individual situation — so keep all your options in mind and take the steps that are right for you.
This article was written by Edward Jones for use by your local Edward Jones Financial Advisor. Member SIPC.