homeboi808 t1_jegjo2t wrote on March 31, 2023 at 9:17 PM

> Should I put a small amount into a year CD and the rest into a longer one?

You can do that, sure.

Do you have a stock broker (say Fidelity) that you use?

I have Fidelity and buying CDs thru them are easy, just select the time-frame you want and pick one. They also have automatic “ladders” that you buy and it is split between different time-frames. You just have to fund money to them from your bank account after you link them (takes a few days).

itsthebestlife OP t1_jegr1gv wrote on March 31, 2023 at 10:09 PM

No I don’t! I don’t even know where to start, this is mt first time even looking this. My cpa just told me about CDs. I’ll do this!

homeboi808 t1_jegrk8v wrote on March 31, 2023 at 10:13 PM

I use Fidelity, but others are just as good.

itsthebestlife OP t1_jegt1br wrote on March 31, 2023 at 10:24 PM

Thanks so much!

homeboi808 t1_jegt2jo wrote on March 31, 2023 at 10:24 PM

One thing to add:

With CDs the taxes on earnings are on your income tax bracket, unless bought in a retirement account like an IRA.

With stocks/funds, if you own it for more than 1 year then when you sell the taxes on earning are lower (15% for people in the ~$40k-$400k income range). Selling them in under 1yr has earnings taxed on income tax bracket just like CDs.

itsthebestlife OP t1_jegt6pr wrote on March 31, 2023 at 10:25 PM

Thank you so much.