I see a lot of posts that mention how to better invest in retirement accounts, which is fantastic, but my main goal is to save for a house when I get out. Currently an O-1 who has $15k in a HYSA at 4.25% (which is what I’m using to save for the house). After putting 5% into my Roth TSP and all other expenses, I can usually save around $1.8k-$2k per month. I don’t plan on making the military my career, and I plan on getting out in 6 years after my initial obligation.
So my question is, are there better options out there to get a better return on my money while still giving me quick access to it? Money market accounts/CDs/ETF’s?
This is the first time in my life that I’m able to save a decent amount of money, so I want to make sure I do it right. What would you do if you were me?
Best way to save for a house?
byu/Substantial_Cow341 inMilitaryFinance
Posted by Substantial_Cow341
1 Comment
First, you can’t sacrifice saving for retirement for a house. You still need to prioritize a total of 15%+ of your gross annual pay into retirement accounts, which it looks like you’re behind on that.
Then – HYSA, CDs or bonds are fine for safe savings. Keep in mind CD and bonds won’t be accessible.