New article on investing: How to make lots of money over decades, through slow and consistent investing...

[ElectricRCAircraftGuy]

How to make lots of money over decades, through slow and consistent investing...

...that takes little to no thought, and can be set up only once and left alone for most of the rest of your life.

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Include SoFi and Robinhood referral links. Mention Charles Schwab's $100 minimum limitation, how its interface is archaic and a PITA, how it has limited stock slices, no ETF slices (partial shares purchases), etc.

Include a Python code snippet to plot growth over time, and a link to my spreadsheet.

Use AIs to get the Python code and find finance libraries or whatever.

[ElectricRCAircraftGuy]

My tips:

1. Invest exactly 6% [depends on the company] in the company 401k, to get full matching. Invest 100% of that into the S&P500 index fund option.
   1. Avoid "target retirement" funds unless you are really close to retirement. They always underperform the the S&P500 index fund, usually quite substantially.
2. Invest an additional 10% elsewhere: in a brokerage account, IRA, or Roth-IRA of your choice. Ex: SoFi. Choose a Roth-IRA if your income isn't too high and you're saving for retirement. Choose a brokerage account if you're saving for a house or car 10+ years from now. Set up automatic recurring investments:
   1. 25% into VOO
   2. 25% into VOOG
   3. 25% into VGT
   4. 25% into high-growth stocks of your choosing
      1. Ex: MSFT, AMZN, TSLA, etc.

Use plots to look for trends. Here are my instructions: https://money.stackexchange.com/a/94493/71271

[ElectricRCAircraftGuy]

Loophole for investing into a Roth IRA even if your income is too high or your contributions too large:

Once you leave a job (including to retire), you can do a rollover of your 401k into a brokerage account. All pre-tax 401k contributions roll over into a Traditional IRA, and all post-tax contributions roll over into a Roth IRA. This means that the Roth IRA contribution limits are kind of meaningless, so long as you roll over your 401k into a Roth IRA when you leave the job.

You also have the option to pay taxes on all your pre-tax 401k contributions at the time of the rollover, converting them into post-tax Roth contributions, so that you can then roll over that money into a Roth IRA as well. Rollovers have no limitations on income or amount that I'm aware of. I'm in the middle of a rollover now from my previous 401k into traditional and Roth self-managed IRAs.

[ElectricRCAircraftGuy]

I just emptied my TSP to roll it over. I should mention that too.

[ElectricRCAircraftGuy]

Note: from 23 May 2023 to 27 June 2023 I invested only $4/week, with a net gain of exactly 10.0% APY in a SoFi "automated investing" robo account. Then, since it was working, I increased my investment from $4/week to $100/week. Here are a few charts I just took as screenshots seconds ago. Unfortunately, I can't find the screenshot I captured in early June 2023 or so showing the exactly 10.0% increase when I did only the $4/week investment.

So, the shallow slope up is the $4/week investment period which lasted just over 1 year, and the steep part up at the right is the $100/week investment period I've been doing since then.

The S&P500 index fund does better overall, of course, but I'm testing out this robo account to see if it might be more consistent, but at a lower climb, and able to be more resilient to drops in the market. It's also easier, since "investing" is as easy as depositing the money. Then, the automatic robo investing account feature takes over and buys you into funds and automatically balances your percents in each one SoFi has chosen based on the "aggressive" "account growth" strategy.

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