Checklist #22 · Investing
Beginner Investing
Clear, sequenced steps to begin investing — eliminating the complexity and paralysis that prevents most people from starting, and establishing habits that compound for decades.
21 action items~15 min to complete4 sections
0%
0/21
completed
completed
Overall progress0 of 21 items
✅
Confirm Prerequisites Are in Place
0/6 completed
Verify you have an emergency fund covering 3+ months of expensesKey
Confirm all high-interest debt (above 7–8% APR) is paid off or in active payoffKey
Ensure you're capturing your full employer 401(k) match if one exists
Have at least $1–50/month available to invest consistently
Document your current net worthAction
Review and optimize your budgetKey
📈
$100K
Value of $5,000 invested at age 25 at 8% annual return by age 65 (20× growth)
10 min
Average time required to open a Fidelity or Schwab account online
🏦
Open the Right First Account
0/4 completed
Start with a Roth IRA at Fidelity, Vanguard, or Schwab if eligibleKey
Open a taxable brokerage account if you're over the Roth IRA income limit
Complete the account opening in one sitting — 15–20 minutes totalAction
Fund the account with your first contribution — even $25Action
📈
Make Your First Investment
0/5 completed
Buy a single target-date retirement fund matching your expected retirement yearKey
If you prefer more control, buy one US total stock market index fund
Do not invest in individual stocks as your first investmentWatch out
Ignore financial news while your money compoundsKey
Set up automatic monthly investments — even $25
🧠
Build the Investing Mindset
0/6 completed
Commit to a '5-year minimum, never-sell-in-a-down-market' ruleKey
Understand that boring, consistent investing beats exciting, active trading
Plan to increase contributions by 1% of income each yearAction
Connect with one trusted financial resource (book, podcast, or advisor) for ongoing education
Track investments monthly, not dailyKey
Prepare for a market correction mentallyWatch out