Contrary to popular belief, low income people have some investment options to consider too. And the good thing is that it can help you build wealth.
What Investment Option Are Available To Help Build Wealth?
If you feel your income is too low to try a usual investment option, consider exploring IDA's.
What Are IDA's?
IDA stands for Individual Development Accounts.
These are individual savings accounts that a low income person can have, that is matched by private, public, individual and sometimes government dollars.
What Are Some Advantages To Opening an IDA Savings Account?
1. will give participants a down payment on a house
2. money to take a trade or to go to college
3. can start a small business
This is How IDA's Work.
1. You first find out what organizations are offering an IDA program in your local area.
You can find that out by going to http:///www.cfed.org.
- Type in your state in the search box to find IDA Practitioners in your area. If none is located in your area go back to the website and see if you can still participate with one of the practitioners closest to your location.
2. Once an IDA program is located in your area, inquire about the program so you can get a better understanding of what an IDA is and how it can benefit you. Plus you can see whether it is something you want to proceed with.
If interested in the Program: What's Next?
1. You sign up to be an IDA participant.
2. Setup your saving accounts
3. Make deposits. The amount of the deposit can sometimes be as low as $25 and can be direct deposited from your paycheck.
4. Your deposits will be matched by some private, public or even some government agencies.
5. Enroll in the required financial literacy workshops.
Most IDA's participants are require to take financial education or financial literacy classes in order to stay in the program.
NOTE: Do not take this as an investment advice, but rather receive this as important information that you should know if you are a low income individual. I am in no way making a suggestion to you to open an IDA.
