YourFinanceQuestions.com

I am a 23 year old who recently switched jobs and I have yet to enroll in my new employer’s 401(k) plan. The reason behind this is that I have a negative return with my former employer’s 401(k), and it seems as though our economy is headed for a recession. My question to you is what kind of assurance would you provide to concerned investors like myself concerning the stability of the market? Is now a good time to invest despite continuous losses? – Dosh, Delaware.

Dosh,
As a 23 year old, you have quite a few years to go before you will need your retirement money. I would not worry about the current climate in the stock market due to the fact that you have many years of compound growth ahead of you. Despite the fact that the market may dip even lower than its current levels, it is important to continually invest. Although the prices of equities are lower than they were six months ago, you need to take the viewpoint that shares are “on sale”. Your 401(k) contributions today will be able to buy more mutual fund shares now than they were six months ago. Although in the near term you may see some volatility, over the long term you should be rewarded for your patience.

I want a credit card with some sort of cashback or rewards. I don’t want an annual fee.  I would use it a lot!  I’d probably be putting over $15,000 a year on this new card.  My credit rating is over 700. There are too many cards to pick from, what would you recommend?
- Matt, Andover, MA

Matt,
In your situation, assuming that you pay your credit card bill off at the end of every month, one of the best is the American Express Blue Cash card.  For the first $0.01-$6,500.00 spent, you will earn 0.5% cash back on everyday purchases and 1% on gas and groceries.  However, for every dollar $6,500.01 and above, a user earns 1.5% on everyday purchases and 5% back on gas and groceries.  A key factor to consider is that unlike many credit cards, Blue Cash does not have an annual cap on the amount a user can receive.  Though I myself have this card, there are plenty of other options out there that you can read about on www.creditcards.com.