Tue May 21 2024, by Tyler Gardner

Financial IndependenceRoth IRAStay-at-Home MomsInvesting BasicsRe-Entry Into Workforce

Become a Millionaire as a Stay-at-Home Mom: 3 Essential Steps

If you are a stay-at-home mom and want to become a millionaire before you're a leave-for-work partner, you need to do the following three things right now.

1. Open Up a Roth IRA Today

You can do this through Fidelity, Schwab, E-Trade, Vanguard, Merrill, et cetera. It'll take you 10 minutes. Remember, if you open that Roth, you can take back those contributions at any time in case of emergency because you funded it with post-tax dollars.

2. Invest Weekly Into Your Roth IRA

Put $50 to $100 a week into that account. Invest that money into a low-cost index fund that tracks the S&P 500 or another major market index. Remember, while you're out of the workforce, you’re not just losing out on your annual salary times the years out; you're missing out on a decade of compound growth.

3. Have a Re-Entry Plan Ready

Invest directly in yourself with countless online degree programs and courses that can better situate you to re-enter the market at a higher market value. This will also indicate to potential employers that you've been absolutely crushing it while being a stay-at-home mom.

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