Investing Is Important

With the market crumbling, bank being untrustworthy and the economy free falling it is hard to think about investing anything. However, it is important to invest, you work hard for your money and your money should work hard for you. Here is a compilation of some simple investment strategies that may not hurt so bad.

1. Get a high interest savings account. Many of the online only bank have high interest rates on saving and even checking accounts. ING is a good option, easy use web site a lots of other options, including good options for kids accounts. This is a good simple way to earn extra money with no risk.
2. A drip account is low overhead investment account that allows you to invest small amounts of money at a regular interval. ING, once again, had a service called Sharedbuilder which allows you to do just that. You will need to pick a couple of companies you have confidence in or to diversify your risk mutual funds are a good option.
3. Research! Know what you are getting into. Subscribing to a good monthly magazine or daily newspaper is worth the investment. Baron's and Kiplinger's are good monthly magazines that have good investment advise and are easy to read. Go to your local book store and read a couple of magazines for a couple of month before you make your subscription.
4. 401K plans are great. If your company offers a 401K be sure to put as much money in it as you can. Make sure to put in to the plan enough to max our your employers match. You will not be able to access your money while it is in the 401K unless you have an emergency, but that is the point.
5. Employee Stock Purchase plans are a easy investment option. They work like drip accounts in that you take a small about of money out of your check and invest it in your employer, generally at a discount, on a monthly basis. The caveat here is that you do not want to have to much money invested in your employer (think Enron). Every so often transfer the stock your personal trading account (tdameritrade or scotttrade are easy to use and have a low overhead cost) and sell the stock buy something else.
6. Invest in your home. While the real estate market is falling apart if you are a home owner it is still smart to keep up your home. Home improvements make you feel better about your house and improve your life experience. It is also a good time to buy investment properties. The credit market is very tight, but you may be able to get a good multi family house that will provide long term income for years to come.

The thing to keep in mind is that no matter how bad things are with the markets they always go back up. If you put at least a small amount of your money to work for you now you'll be ahead of the curve as the markets expand.