In this post, I’ll be breaking down my current investment portfolio by the percentage I’m invested in, some unique portfolio attributes, and my plans for each account going forward.
Disclaimer: I’m a Digital Marketer, not a financial advisor!
UTMA – 59.5%
My UTMA account makes up the largest portion of my total investments, coming in at 59.5%.
For those of you not familiar with this type of account, an UTMA (Universal Transfer to Minors Act) is basically a gift that a minor is allowed to receive and allows them to avoid tax consequences until they become legal age. In my case, this was money, but it can also be real estate or royalty earnings.
When I turned 18, I used some of the money from this account for college tuition and my first car.
I am very grateful to my grandpa and aunt who started my UTMA account for me when I was younger. Since I know that many people don’t have this privilege, I never take it for granted. It is a huge reason why I was able to get a head start on my wealth building journey at a young age.
I’m currently in the process of getting complete access to this account (my mom has the access since she is the custodian of the account). Once I get access, I’m going to leave the account alone and just let the power of compounding work its magic!
Betterment – 27.7%
My Betterment account, which is just a “general investing account” through Betterment, currently stands at 27.7% of my total investments, making it the largest investment account that I started myself.
This account is mostly comprised of Vanguard index funds and ETFs, which are my favorite investments! I also have a few bonds in there.
The reason why I love this account is because Betterment acts as a robo-advisor, meaning they basically create a portfolio for me based on my goals and my age, and I can always change the allocations if I want, since they have several portfolio types.
Currently, I have no plans to change up my strategy with this account. Each month, $500 goes into this account automatically, and I’m pretty happy with that amount right now.
I opened this account back in 2020 and I’m excited to see this account grow even more in the coming months and years!
Roth IRA – 8.7%
My Roth IRA, also through Betterment, currently makes up for 8.7% of my total investments.
I opened this account at the beginning of this year, and I still have yet to max it out.
This account, much like my general Betterment account, is comprised of Vanguard index funds/ETFs and bonds. I’m not planning on switching up my portfolio allocation for this account just yet. I may do that next year though!
My plan is to max out my Roth IRA by the end of the year. Currently, the limit for those of us 55 and younger is $6,000.
401(k) – 4.2%
And last but not least, my 401(k) makes up for 4.2% of my total investments.
This is my first ever 401(k), and I started contributing to it back in January of this year, a few months after I started at my current job.
I contribute 5% of each paycheck to my 401(k), and my company has a 3% match. It’s like “free money”!
Right now, I have no plans to switch up my contributions. I invest 100% of the contributions in a target date fund, because it works for me personally. I’m not maxing out my 401(k) anytime soon, but I hope to one day in the future when I’m making more money than I’m making now.